Bitcoin ETFs shed $450 million as Clarity Act fails

U.S. spot bitcoin

ETFs shed $450 million on Tuesday, according to SoSoValue, the heaviest single-day outflow since June 25, after the U.S. Senate declined to advance the Digital Asset Market Clarity Act.

Bitcoin

is little changed since midnight UTC, after dropping following the vote, which garnered around 10 fewer votes than the 60 required. Among those opposing the motion were seven Democrats who had spent months negotiating the text.

The CoinDesk 20 Index also held its loss, dropping less than 0.1% since midnight after falling 4.6% on Tuesday in the steepest decline since June 5.

Attention now switches to the Federal Reserve, which announces its interest-rate decision later today, with an increase having been the market's base case going into the meeting.

The bill’s failure effectively ends any prospect of market structure legislation clearing the Senate this year, with Congress expected to be under split control in January.

Bitcoin’s 24-hour drop of 1.7% seems muted compared with slides in the tokens most exposed to U.S. regulatory treatment.

Stellar

fell 9.6% over 24 hours and XRP lost 8.1% Among CoinDesk 100 constituents, a full 95 lost value over the period.