Bitcoin recovers above $80,000 after policy setbacks

Bitcoin recovered above $80,000 as crypto markets rallied towards the end of a week dominated by US policy developments. By the evening update, bitcoin had passed $81,000, while ether, XRP and Solana were also higher. Coinbase and Strategy shares advanced alongside the token market.

The rebound followed the Federal Reserve's decision to lift its target rate range to 3.75–4 percent and the Senate's failed procedural vote on the CLARITY Act. Meanwhile, the SEC had issued a conditional exemption for qualifying tokenised-stock venues, adding a separate regulatory development to the week's trading backdrop.

CoinGlass data showed roughly $470 million of short crypto derivatives positions liquidated over 24 hours, including $238 million in bitcoin shorts. Forced closures of bearish positions accompanied the rally, although those figures alone do not establish its original cause.