Bitcoin climbed above $65,000 on Tuesday, helped by renewed optimism about regulations and ongoing interest from big investors. The broader crypto market rose 1.56% in the past 24 hours, bringing total market value to $2.24 trillion. More activity on the blockchain and steady demand for spot ETFs added momentum, making the $66,000 resistance level a realistic target if buying continues.
Crypto Bill Clears Key Hurdle
Market sentiment improved after President Trump agreed to an ethics rule connected to the CLARITY Act. This move could end a dispute that had delayed the bill for months. According to industry sources, the agreement was reached Monday evening after discussions between lawmakers and administration officials. The new rule sets guidelines for how government officials can own or trade digital assets while in office.
The bill would divide oversight of digital assets between the SEC and the CFTC. Lawmakers hope to finish work on it before Congress leaves for the August break. If the House approves it, the bill will go to President Trump for his signature. This news boosted optimism throughout the market:
- Ethereum climbed above $1,900
- XRP held above $1.20 after gaining roughly 5% on the week
Derivatives Trading Jumps 95%
Bitcoin’s derivatives market became much more active as prices rose. Trading volume jumped 95% to $59.67 billion for the session, and open interest increased 2.36% to $49.07 billion. This shows that traders were adding new positions even though some uncertainty remains.
Options trading saw the biggest increase, with volume up 138% to $3.25 billion and open interest rising 1.86% to $32.67 billion. This mix of new speculation and ongoing hedging suggests traders expect more price swings ahead, not a period of calm.
ETF Demand Signals Institutional Confidence
U.S. spot Bitcoin ETFs saw $227 million in net inflows on July 20, making it the fifth day in a row of gains and bringing total assets to about $79.16 billion. Spot Ethereum ETFs added $38.09 million during the same period. These steady inflows show that big investors still want regulated crypto exposure, which could help support prices if the trend continues.
Looking at the charts, Bitcoin traded between $65,140 and $65,623 over the last four hours, with the latest move up 3%. The MACD stayed in a bullish position above its signal line, and the RSI was at 62, which is high but not yet overbought. If Bitcoin breaks above $66,000, it could move toward $67,000 and $68,000. If it falls below $65,000, a drop to $64,000 or even $63,000 is more likely in the short term.