Digital assets and crypto-linked stocks face broad selling pressure as legislative gridlock over the CLARITY Act and looming Federal Reserve monetary tightening weigh on investor sentiment.
Bitcoin declined 2.19% as investors braced for the CLARITY Act vote and a likely Federal Reserve rate hike.
Ether fell 1.8% amid broad-based crypto selling ahead of key US regulatary decisions.
Solana dropped 1.02% as regulatory uncertainty around the CLARITY Act weighed on digital assets.
Crypto markets retreated Tuesday as Bitcoin fell 2.19% to $76,431 and Ether dropped 1.8%. Investors are exercising caution ahead of a critical Senate cloture vote on the CLARITY Act and an anticipated 25-basis-point interest rate hike from the Federal Reserve.
Markets are reacting to uncertainty surrounding the Senate's CLARITY Act vote and the anticipation of a Federal Reserve interest rate hike, which typically pressures risk assets.