Bitcoin fell on Thursday, giving up some of this week's gains as conflicting signals over ceasefire talks in the US-Israeli war on Iran kept risk appetite largely limited.
Uncertainty over progress on a major U.S. cryptocurrency regulatory bill, the Transparency Act, has also affected cryptocurrency markets, after reports indicated mixed reactions from the industry to the latest proposals under the bill.
Bitcoin fell 1.5% to $69,920.90 by 10:26 AM Saudi time. The world's largest cryptocurrency had risen to $71,419.00 earlier in the session.
The world's largest cryptocurrency fell, tracking broader declines in risk-driven markets, with Asian stocks and Wall Street futures also declining. Oil prices rose, keeping markets on alert for an energy shock from the Iran conflict.
Iran rules out direct US talks and says it is considering a ceasefire proposal.
Cryptocurrencies and broader risk-driven markets rose on Wednesday after reports emerged that the United States had presented a 15-point ceasefire proposal to Iran.
But markets curbed their gains after Iran initially rejected the proposal and put forward its own 5-point ceasefire deal.
Iranian state media reported later in the day that the country was considering the American proposal, but largely ruled out the possibility of any direct talks with Washington.
Mixed signals regarding the Iran conflict have left markets largely on edge about how it will unfold, dampening investor appetite for speculative assets like cryptocurrencies. While Bitcoin has outperformed gold since the start of the Iran conflict, it is still projected to suffer losses for 2026.
The cryptocurrency industry is showing mixed reactions to the transparency law - CoinDesk
Participants in the cryptocurrency industry showed mixed reactions to the latest draft of the long-awaited Market Structure Bill, the Clarity Act, which was presented to them at a meeting earlier this week, CoinDesk reported.
Cryptocurrency exchange and industry leader Coinbase Global Inc. (NASDAQ:COIN) is unhappy with the latest draft, CoinDesk reported, citing people familiar with the situation.
A key point of contention regarding the Clarity Act, which seeks to establish a regulatory framework for cryptocurrencies, is the nature of return payments on stablecoin deposits.
Major US banks have generally called for increased scrutiny or outright bans on payments for stablecoin deposits, warning of potential systemic risks from such payments.
On the other hand, cryptocurrency proponents, particularly Coinbase, argued that banning stablecoin payments would make the United States less competitive. Coinbase's opposition was a major sticking point in the progress of the Clarity Act in Congress.
Cryptocurrency prices today: Altcoins decline, tracking Bitcoin
Prices for the broader cryptocurrency market fell sharply on Thursday, tracking Bitcoin's declines.
The world's second-largest cryptocurrency, Ether, fell 2% to $2,120.41, while XRP dropped 2.5% to $1.3844.
Solana and Cardano fell by 3% and 2.8% respectively, while BNB fell by 1.4%.
Among the meme coins, Dogecoin fell by 4.3%, while $TRUMP fell by 5.9%.
