Bitcoin boosted by US Congress' crypto bills

Bitcoin rose during Asian trading on Monday morning, amid optimism over a series of US legislative moves aimed at regulating the cryptocurrency sector, despite continued investor caution.

The world’s largest cryptocurrency was last traded up 0.6% at $119,001.6, as of 02:25 a.m. Eastern Time (06:25 GMT).

The token had reached record levels above $123,000 last week but has since pulled back below $120,000 and is now consolidating near that level.

Legislative Progress in the US… But Investor Caution Remains

Last week, US President Donald Trump signed the “GENIUS Act,” which establishes a federal regulatory framework for issuing stablecoins.

The law requires stablecoin issuers to hold reserves in liquid assets such as US dollars or Treasury bonds, and to provide monthly disclosures. This move is considered a key step toward legitimizing the $260+ billion stablecoin market and more fully integrating it into the financial system.

Alongside the GENIUS Act, the US House of Representatives also passed two other major bills:

- The CLARITY Act, which aims to determine whether digital tokens fall under the jurisdiction of the Securities and Exchange Commission (SEC) or the Commodity Futures Trading Commission (CFTC).

- The Anti-CBDC Surveillance State Act, which prohibits the Federal Reserve from issuing a central bank digital currency (CBDC) without explicit congressional approval.

These three pieces of legislation formed a unified regulatory push during what has been dubbed “Digital Assets Week” in the United States, aimed at reshaping crypto sector regulation.

Despite this legislative momentum, investors remain cautious. The GENIUS Act requires the US Treasury Department to develop detailed implementing rules before it becomes fully enforceable—a process that could take several months.

Additionally, the Senate has yet to begin discussions on the two House-passed bills, leaving the broader regulatory outlook uncertain.

Bitcoin Moves Sideways After Hitting a New Record

Bitcoin posted a new all-time high of $123,218 on Monday before entering a sideways trading pattern between $116,000 and $120,000. As of the latest update Monday morning, the token is trading near $117,800.

If Bitcoin breaks below the lower bound of this consolidation zone at $116,000 on a daily close, the decline may extend toward its 50-day Exponential Moving Average (50 EMA), currently located at $110,297.

The Relative Strength Index (RSI) on the daily chart has dropped to 64 after falling from the overbought level of 70 last week, signaling a weakening of bullish momentum. Meanwhile, the Moving Average Convergence Divergence (MACD) is close to forming a bearish crossover on the daily chart. If confirmed on a daily basis, this would produce a sell signal and mark the start of downward momentum.

Conversely, if Bitcoin closes above the upper bound of the consolidation zone at $120,000 on a daily basis, it could reinforce the bullish trend and pave the way for a return to the $123,218 record high—and possibly beyond.