{"id":68186,"date":"2026-02-14T14:57:41","date_gmt":"2026-02-14T14:57:41","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/us-crypto-policy-deadlock-is-weighing-on-bitcoin-price\/"},"modified":"2026-02-14T14:57:41","modified_gmt":"2026-02-14T14:57:41","slug":"us-crypto-policy-deadlock-is-weighing-on-bitcoin-price","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/us-crypto-policy-deadlock-is-weighing-on-bitcoin-price\/","title":{"rendered":"US crypto policy deadlock is weighing on Bitcoin price"},"content":{"rendered":"

(Originally posted on : Invezz )<\/b>
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Progress around key crypto legislations in the US remains stuck in limbo, effectively capping price action as institutional capital remains on the sidelines.<\/p>\n

After a year of blistering gains that saw Bitcoin soar from under $70,000 to an all-time high of $126,000 in October, the flagship crypto has crashed to multi-month lows.<\/p>\n

Bitcoin\u2019s rally last year was primarily fueled by President Trump\u2019s return to office and a renewed political mandate to make the United States \u201cthe crypto capital of the world.\u201d<\/p>\n

Subsequently, a string of pro-industry appointments and legislative efforts, including the GENIUS Act for stablecoins, initially buoyed sentiment. <\/p>\n

But market euphoria has collided with the entrenched complexities of US policymaking.<\/p>\n

Bitcoin price is now trading below its re-election baseline, and briefly dipped to a 16-month low near $60,000 this week before stabilising in the $65,000\u2013$68,000 range.\u00a0<\/p>\n

Key legislations stall in the US<\/h2>\n


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The GENIUS Act, signed into law in mid-2025, established baseline standards for fiat-backed stablecoins and was hailed as the sector\u2019s first meaningful regulatory win.\u00a0<\/p>\n

But with enforcement rules still pending finalisation from the Treasury and banking regulators, expected no sooner than July 2026, their market impact remains partial.<\/p>\n

Meanwhile, broader efforts to define the contours of US crypto oversight have stalled outright.\u00a0<\/p>\n

The CLARITY Act, designed to resolve the long-standing jurisdictional battle between the SEC and CFTC, cleared the House in 2025 but hit a wall in the Senate Banking Committee at the start of 2026.<\/p>\n

The bill\u2019s demise followed criticism from major industry players, including Coinbase, which withdrew support over controversial amendments<\/a> targeting stablecoin yield programs.\u00a0<\/p>\n

Banks, led by voices like Bank of America CEO Brian Moynihan, warned that such products could drain trillions from traditional deposits and destabilise smaller lenders. <\/p>\n

Crypto firms, in turn, accused lawmakers of caving to TradFi pressure.<\/p>\n

Senators Tim Scott and Elizabeth Warren, though ideologically distant, have found common ground in opposing the current draft<\/a>, albeit for vastly different reasons.<\/p>\n

A recent closed-door White House summit on Feb. 10, between banking titans and crypto executives, despite being described as \u201cproductive,\u201d ultimately failed to resolve the issue<\/a> of stablecoin yield, leaving the CLARITY Act\u2019s markup indefinitely postponed.<\/p>\n

The situation has left policymakers paralysed, with bipartisan factions now sceptical of any bill that has simultaneously alienated both Wall Street and Web3.<\/p>\n

Crypto market impact<\/h2>\n


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With no functional framework to regulate or expand crypto infrastructure in the US, capital has begun to migrate elsewhere.<\/p>\n

According to data from SoSovalue, roughly $3 billion in net outflows<\/a> from US-based crypto funds have occurred since the start of 2026.<\/p>\n

Meanwhile, more than $800 billion in market cap has evaporated from the digital asset sector since January 1, according to industry trackers.<\/p>\n

Institutional investors, particularly pension funds and endowments, are now sitting on the sidelines, unwilling to engage with a market that remains in a regulatory grey zone.<\/p>\n

Analysts have described the current environment as directionless, a result of the disappearance of the regulatory premium that once pushed prices higher on anticipation of a mature US market.<\/p>\n

Until lawmakers resolve key points of contention, Bitcoin is expected to remain range-bound.\u00a0<\/p>\n

For now, Bitcoin and the broader crypto market are trading more on global macro signals and liquidity flows.<\/p>\n<\/p><\/div>\n

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(Originally posted on : Invezz ) Progress around key crypto legislations in the US remains stuck in limbo, effectively capping price action as institutional capital remains on the sidelines. After a year of blistering gains that saw Bitcoin soar from under $70,000 to an all-time high of $126,000 in October, the flagship crypto has crashed […]<\/p>\n","protected":false},"author":3947362366,"featured_media":68187,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0},"categories":[39],"tags":[],"_links":{"self":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/68186"}],"collection":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/users\/3947362366"}],"replies":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/comments?post=68186"}],"version-history":[{"count":0,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/68186\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media\/68187"}],"wp:attachment":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media?parent=68186"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/categories?post=68186"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/tags?post=68186"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}