30.01.202614:14 Forex Analysis & Reviews: CLARITY bill takes step forward

It emerged yesterday that the Senate Agriculture Committee approved the market?structure bill for the crypto sector. The CLARITY bill must now face a vote in the Senate Banking Committee. A meeting between representatives of the cryptocurrency industry and key figures from the US banking sector on the matter is scheduled for next Monday.

Approval of CLARITY by the Agriculture Committee is a landmark event that reflects growing recognition of cryptocurrencies as an asset class that requires clear regulation. Referral of the bill to the Senate Banking Committee is the next important stage that will help determine CLARITY's fate and the direction of the U.S. crypto market. The Banking Committee, which wields significant influence over financial policy, will assess the bill from the perspectives of investor protection, financial?system stability, and compliance with existing regulatory frameworks.

Attention is now focused on the industry?bank dialogue. That conversation will provide a forum to discuss the most contentious regulatory issues, the potential risks, and the opportunities posed by integrating digital assets into the traditional financial system. How constructive and productive that dialogue proves to be will largely determine the future cooperation between these two, ostensibly separate, worlds.

The outcome of the Banking Committee vote and the results of the industry?bank meeting will serve as a litmus test of the readiness of the US political and financial establishment to embrace cryptocurrencies and to create a supportive regulatory environment for their further development. According to various media reports, the SEC and the CFTC plan to sign a memorandum of understanding on joint oversight of crypto, which would represent another step toward developing the industry's legal framework in the United States.

Trading recommendations:

On the technical front, buyers of BTC are now targeting a return to $83,200, which would open a direct path to $85,600 and then $87,900. The farthest target is the peak around $9,000, a breach of which would signal attempts to restore the bull market. On a downside move, I expect buyers to appear at $81,200. A break below that area could quickly push BTC down toward $78,200, with a further target near $75,100.

As for Ethereum, a clear consolidation above $2,789 would open a direct route to $2,887. The farthest target is the peak near $2,970. A break above that level would strengthen bullish sentiment and renew buyer interest. If ETH falls, buyers are expected at $2,684. A drop below that area could rapidly send ETH down to about $2,585. The far downside target would be around $2,466.

What we see on the chart:

- Red lines indicate support and resistance levels where either a price slowdown or active growth is expected;

- Green lines indicate the 50-day moving average;

- Blue lines indicate the 100-day moving average;

- Light green lines indicate the 200-day moving average.