Bitcoin (BTC) fell nearly 2.7% to about $63,200 after the U.S. stock market closed, as a sharp 10% plunge in South Korea’s Kospi index stoked risk-off sentiment across global markets, CoinDesk reported. The decline, which extended to ether, XRP, solana, and other major cryptocurrencies, erased the resilience shown earlier Monday when Nvidia shares sold off on Wall Street.
Regulatory Delay Adds to Bearish Mix
The Senate shelved the closely watched CLARITY Act to prioritize a Russia sanctions bill, likely pushing any vote on crypto legislation to next week before the August recess. The delay compounds macro headwinds already weighing on Bitcoin, reminiscent of recent episodes when Bitcoin wilted as oil and rates rose, and CLARITY Act odds tumbled to 38%. Analysts note that Bitcoin tends to track equities during interest-rate stress, and with the Federal Reserve’s rate decision coming Wednesday and key U.S. data on Thursday, volatility is expected to intensify.
Institutional Accumulation Offers Counter-Narrative
Amid the sell-off, long-term accumulation by public companies remains a structural support. Hyperscale Data’s Bitcoin treasury reached 1,087 BTC, valued at roughly $70.3 million, underscoring the commitment of certain institutional players even during drawdowns. This pattern of strategic buying during dips suggests underlying demand that could cushion further declines, especially if regulatory clarity eventually materializes.
The broader market positioning, however, is not entirely defensive. Options data and whale activity earlier suggested that the Bitcoin rally had gained broad-based support from institutions, whales, and options traders. That optimistic setup may now be tested as macro risks escalate, and any dovish surprise from the Fed could quickly reignite bullish bets. For now, traders are watching the $63,000 level as a near-term floor, with a break below potentially opening the door to $60,000.
