BTC Price Climbs to $72,000 After Trump Supports Clarity Act Targeting Crypto Deals by Presidents and Congress Members

Bitcoin prices soared above $72,000 per token during premarket hours on Thursday, a day after US President Donald Trump hosted executives from leading cryptocurrency firms at the White House crypto event and urged Congress to pass the proposed Digital Asset Market Clarity Act.

The revised act would bar Congress members, the president, the vice president, and certain federal officials from issuing or sponsoring digital assets for profit while in office.

Remember the $Trump coin that US President Donald Trump launched over a year ago? The token surged overnight after launch only to lose over 90% of its value in a short span, which is often hailed as one of the most prominent pump-and-dump schemes, as countless investors lost millions of dollars investing in the Trump coin.

Trump had reportedly made billions from cryptocurrencies in the past year. Even billionaire hedge fund manager Kenneth Griffin had expressed his concerns about the Trump Administration enriching itself at the cost of US taxpayers and the overall economy. The proposed rules under the new act will also be applicable to spouses of certain federal officials and Congress members.

Trump said at the White House event that Congress needs to 'take the next step' by approving the crypto legislation, which would prevent him from engaging in activities like issuing his own cryptocurrency for profits.

The President, however, called for a 'fair version' of the Clarity Act, and believes that this 'powerful' framework will keep the US ahead of China and 'everybody else'.

This development, which could limit insider trading, fraudulent crypto schemes, and boost investor security, potentially drove up crypto prices overnight, with Bitcoin leading the way.

Trump hosted the event ahead of the Innovation Advisory Committee meeting for the first time at the US Commodity Futures Trading Commission (CFTC), scheduled for today.

He also said the CFTC was working to bring decentralized exchange Hyperliquid into the US 'in a fully compliant legal fashion,' according to a media outlet. Hyperliquid's token surged around 25% in the preceding 24 hours.

BTC Surge Further Driven by Treasury Buyback Boost, FOMC Holding Rates Steady

The US Treasury announced yesterday it would ramp up buybacks of long-dated government debt, including 20- and 30-year bonds, which sharply drove down yields and boosted demand for higher-risk assets as US equity indexes rose significantly.

Furthermore, most of the Federal Open Market Committee participants agreed to maintain the federal funds rate at 3.50% to 3.75%. While FOMC participants understood that inflation remained considerably higher than the 2% target, most of them expected it to simmer over the remainder of the year as the effects of tariffs and earlier energy price hikes fade. They also added that economic activity continued to expand at a robust pace while labour market conditions appeared stable.

Lastly, Trump also paused tariffs on certain Canadian goods in a Tuesday Truth Social post. He also highlighted that the cancelled Keystone XL Pipeline could be finally revived. Note that the tariff play comes ahead of negotiations for the US-Mexico-Canada Trade Agreement.

The Clarity Act faces a final Senate window next month before another recess that will take Congress to the November elections.

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