The correction in Bitcoin prices is attributed to the weekly macroeconomic agenda and the rapid rise in prices. However, there is another factor at play; the effects of the destructive cryptocurrency legislation led by Senator Warren will become clearer in the coming hours. Currently, the price of Bitcoin has fallen to levels around $40,800.
The movement initiated under Warren’s leadership caused Bitcoin’s price to lose $1,000 in a short period of time. Considering the anxiety experienced on the macro front on Wednesday, it wouldn’t be surprising if BTC’s price falls below $39,000 in the next 48 hours.
In a statement made by Warren, it was mentioned that the “Digital Asset Money Laundering Prevention Act” was adopted with broad support by the Senate. This legislation aims to reduce the illicit financial risks associated with cryptocurrencies and to make the digital asset ecosystem more compliant with anti-money laundering and counter-terrorism financing frameworks that govern most of the financial systems.
Senators Raphael Warnock, Laphonza Butler, Chris Van Hollen, and Senators John Hickenlooper and Ray Luján are also reported to support the bill.
Warren emphasizes the need for new laws to prevent uses of cryptocurrency that allow terrorist groups, rogue states, drug barons, ransomware gangs, and scammers to launder billions of dollars, evade sanctions, fund illegal arms programs, and profit from destructive cyber-attacks. She states that cryptocurrencies have become the preferred payment method for terrorist organizations, drug cartels, and authoritarian regimes to finance their illegal activities and should be subject to the same transparency rules as traditional banks.