The recent decline in the price of Bitcoin is attributed to this week’s macroeconomic agenda and the rapid increase in prices. However, there is another factor at play. In the coming hours, we will see the clearer effects of the cryptocurrency legislation led by Senator Warren. Considering the current Bitcoin price has fallen to $40,800 and taking into account that the daily low was $40,400, it is evident that there’s a problem.
The movement initiated by Warren led to Bitcoin losing $1,000 in value in a short period. Given the developments on the macro front on Wednesday, it wouldn’t be surprising if the price of BTC falls below $39,000 in the next 48 hours.
In a statement made by Warren, “There is broad coalition support in the Senate for the Digital Asset Anti-Money Laundering Act. This law will mitigate the illegal financial risks created by crypto, close gaps, and make the digital asset ecosystem more consistent with the anti-money laundering and counter-terrorism financing (AML/CFT) frameworks that govern much of the financial system,” she said.
Senators Raphael Warnock, Laphonza Butler, Chris Van Hollen, and Senators John Hickenlooper and Ray Luján supported the legislative proposal.
Warren added, “The Treasury Department has clearly shown that we need new laws to prevent crypto usage which allows terrorist groups, rogue nations, drug barons, ransomware gangs, and scammers to launder billions of dollars in stolen funds, evade sanctions, finance illegal arms programs, and profit from destructive cyberattacks. I am pleased that five new senators, including three members of the Banking Committee, have joined our movement.”