Bitcoin’s BTC$95,956.03 The rally stalled on Thursday, with the largest cryptocurrency quickly falling below $96,000 after the main U.S. digital asset law hit a roadblock late Wednesday.
Bitcoin’s decline followed a multi-day rally this week, peaking just below $98,000 on Wednesday.
In response to this, virtual currency-related stocks also plummeted. Coinbase (COIN), Circle (CRCL), Strategy (MSTR) and others fell 3-5%.
Bitcoin’s rally this week, which rose from $90,000 to a two-month high, came amid global unrest centered on possible intervention in the country by Iran and the United States. U.S.-listed Bitcoin ETFs saw more than $1.7 billion in new money flow in the first three days of the week, the strongest inflow streak in months.
Today’s reversal paralleled signs that the United States would not move on Iran, but also coincided with the Senate Banking Committee canceling a hike in the cryptocurrency market structure scheduled for Thursday. This comes after major cryptocurrency exchange Coinbase (COIN) withdrew its support for the bill late Wednesday.
The decline in cryptocurrencies comes on the heels of gains in U.S. stocks, with the Nasdaq up nearly 1% and the S&P 500 up 0.65%.
