Key Points
- Bitcoin is trading above the important level of $66k on CoinMarketCap.
- US Congress is hurtling towards a crucial crypto vote this week that could significantly impact prices.
Bitcoin continues to trade above the important mark of $66k today, following an earlier price drop.
The past week was marked by a surge in BTC's price triggered by the new CPI report that showed easing inflation for April of 3.4%. The data was in line with economists' expectations this time, following the past reports that turned out hotter than expected.
This is an important week for Bitcoin and the crypto market, as the US Congress is ahead of an important vote that could significantly affect prices.
US Congress is ahead of a crucial crypto vote
According to recent reports from Forbes, this week House lawmakers will vote on the Financial Innovation and Technology for the 21st Century Act, known as Fit21.
This would promote the Commodity Futures Trading Commission (CFTC) to major crypto regulators and carve out which areas of the crypto market are overseen by the Securities and Exchange Commission (SEC).
This would also set the guardrails against risky behavior and establish consumer protections for the crypto custody and how they should be treated in bankruptcy.
The Crypto Council for Innovation, a coalition of crypto companies and organizations that includes important exchanges Kraken and Coinbase, along with Andreessen Horowitz and Digital Currency Group crypto empire wrote in an open letter to lawmakers that by passing this legislation, they can accelerate the growth of the blockchain technology and crypto, fostering financial inclusion and protecting national security.
The letter also highlighted that it's crucial for the US to maintain leadership in financial innovation.
Last week, Congress overturned a crypto accounting policy from the SEC that had prevented big banks from Wall Street and other similar entities tightly regulated from custodying Bitcoin and crypto.
On May 16, the Senate passed legislation H.J.Res. 109 that would overturn the SEC’s Staff Accounting Bulletin (SAB) no. 121. This was a big win for the crypto industry, and now the bill awaits Biden's decision.