Bitcoin climbed back above $81,000 for the first time in about three months, driven by growing expectations that the U.S. “Clarity Act” — a bill aimed at establishing a regulatory framework for digital assets — will be passed.
The rally appears to reflect optimism that progress on the legislation will accelerate after signs of compromise emerged between the traditional financial sector and the crypto industry over stablecoin interest payments.
As of 4:15 p.m., Bitcoin was trading at $80,965, up 1.35% from a day earlier, according to CoinMarketCap.
Earlier in the day, Bitcoin rose as high as $81,226, marking its first move above the $81,000 level since late January.
Meanwhile, capital inflows into spot Bitcoin exchange-traded funds (ETFs) have continued. According to Farside Investors, global spot Bitcoin ETFs recorded net inflows of $532.3 million on May 4 (local time), extending a three-session streak of inflows since turning positive on April 30.