Bitcoin Retreats From Five-Week High as Iran Conflict Escalates; Clarity Act Advances

Bitcoin pulled back on Thursday as an intensifying U.S.-Iran conflict dampened risk appetite, even as progress on a landmark U.S. crypto regulatory bill offered longer-term support for the sector.

Key market moves as of 22:02 GMT, per Investing.com data:

→ Bitcoin (BTC/USD): fell 1.2% to $65,085, pulling back from a five-week high hit earlier in the week

→ Ethereum (ETH/USD): dropped 2.8% to $1,882.47

→ XRP: down 2.7%

→ BNB: slipped 0.5%

→ Solana: fell 2.5%

→ Cardano: declined 4.4%

→ Dogecoin: dropped 4.8%

The selloff coincided with a twelfth consecutive day of tit-for-tat U.S.-Iran strikes, with Yemen's Houthi forces opening a new front in the Red Sea — a development that has added to concerns over potential shipping and oil supply disruptions.

Regulatory developments: A revised draft of the Clarity Act circulated in Washington on Wednesday, moving the long-stalled crypto market structure bill closer to a Senate vote. The draft adds an ethics provision barring senior officials, including the president, from crypto-related conflicts of interest — though the rule would sunset in 2029. The provision follows scrutiny after President Trump's disclosures showed over $1 billion in crypto-linked earnings last year. The bill also preserves protections for non-custodial developers under the Blockchain Regulatory Certainty Act.

Separately, exchange BitMEX announced it will wind down operations by September 23, urging users to withdraw funds ahead of the shutdown, following a 2022 anti-money-laundering settlement involving its founders.

Market implications: Escalating Middle East tensions have remained an important factor influencing broader market risk sentiment, alongside movements in equity and energy markets. Market participants are likely to continue following the timing of the Clarity Act's Senate vote and Bitcoin's price movements around the $65,000 level as broader market conditions evolve.

Source: Investing.com real-time market data (July 23–24, 2026); U.S. Senate legislative filings; compiled from Reuters reporting.