The Senate failed to reach the required 60-vote threshold to advance H.R. 3633, with the motion to invoke cloture falling 49-50. This legislative setback hit Bitcoin and Ether markets hardest, with each asset seeing approximately $190 million in long positions wiped out overnight. Smaller assets also suffered, as XRP and Solana liquidations totaled $30 million and $22 million respectively. CoinGlass data indicates these forced closures reached their highest level since August 22.
In section Cryptocurrency
Senate Rejection of CLARITY Act Triggers $571 Million Crypto Liquidation
A failed procedural vote in the U.S. Senate on September 15 sent shockwaves through digital asset markets, forcing the liquidation of roughly $571 million in bullish futures positions. The collapse of the CLARITY Act cloture motion erased significant gains, as leveraged traders were blindsided by the sudden market reversal.
Traders had aggressively positioned for upside earlier in the week, pushing Bitcoin toward $80,000 on expectations that the bill would progress. However, as the likelihood of success waned, the rally evaporated. Bitcoin traded near $75,834 on September 16, reflecting a 2% decline over 24 hours. Despite the disappointment, Coinbase CEO Brian Armstrong suggested the regulatory landscape remains unchanged, noting that the SEC and CFTC retain sufficient authority to continue their ongoing rulemaking efforts, including the proposed Regulation Crypto Assets.
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