Bitcoin Hits $80, 000 as Senate Talks Shift the Market

The price of Bitcoin surged past $80, 000 on Monday, a move that coincided with new developments in U. S. legislation and market sentiment. A key figure, Senate Banking Committee chair Tim Scott, announced that the CLARITY Act is “in the red zone, ” indicating a need for urgent action. Scott plans to push a markup of the bill in May and bring it to a vote later that year. The act, which received House approval last July, has stalled in the Senate because banks and stablecoin firms disagree over how to handle yields on user balances. Coinbase withdrew its support earlier in the year after a proposed amendment would have barred crypto companies from offering interest on stablecoin holdings. Meanwhile, U. S. spot Bitcoin ETFs attracted a net inflow of $630 million on Friday, May 1, before the price climbed above the $80, 000 mark.This rise comes even as Strategy Inc. , a major buyer of Bitcoin, paused its purchases last week. CEO Michael Saylor said the company would not buy more this cycle, breaking its usual buying pattern. Analysts suggest that Bitcoin’s rally is now supported by a broader base of investors, not just large holders like Strategy. The Federal Reserve’s recent decision to keep the federal funds rate between 3. 5% and 3. 75% was highly divided, the most split vote since 1992. This uncertainty could expose Bitcoin to shifts in Treasury yields, dollar strength, and inflation data. On a technical level, Bitcoin completed a liquidity sweep at $75, 000, then moved sharply into the range between $77, 500 and $81, 000. Traders are watching for a close above $81, 000 to confirm the rally; a drop below $77, 500 would signal a reversal. Overall, Bitcoin’s recent climb reflects a mix of legislative uncertainty, ETF inflows, and changing investor behavior, all playing together to shape the current market direction.