The S&P 500 achieved a new record high, while Bitcoin made an attempt to reach the $80,000 threshold earlier on Saturday. By Saturday in Asian trading hours, the largest cryptocurrency was valued at $78,180, indicating a 0.8% weekly increase and a recovery from a Wednesday low of approximately $75,500, which was triggered by reports of fresh military escalation in Iran. This rebound coincided with Friday's news that Tehran had proposed a new ceasefire to Washington via Pakistan, resulting in a nearly 3% decline in WTI crude prices to around $102 per barrel.
Equities experienced a more favorable week, with the S&P 500 closing 0.3% higher on Friday to set an all-time high, marking its fifth consecutive weekly gain, driven by strong earnings from tech mega-caps. The Nasdaq 100 advanced 0.9% to a record high, with Apple gaining 3.2% following a better-than-expected revenue forecast and Oracle rising 6.5% after announcing its collaboration with the Pentagon's classified networks on AI projects. A significant development in the crypto space was the policy-related advancement. On Friday, the Senate released the long-negotiated Clarity Act compromise, ending months of discussions between crypto firms and banking lobbyists.
The agreement, brokered by Senators Thom Tillis and Angela Alsobrooks, prohibits stablecoin issuers from offering yield solely based on holding reserves but allows activity-based reward programs that crypto firms use as incentives for platform usage. Coinbase, a central player in the negotiations, expressed immediate support, with Chief Legal Officer Paul Grewal stating that the language "preserves activity-based rewards tied to real participation on crypto platforms and networks, which aligns with the bank lobby's demands." The markup, a Senate Banking Committee hearing where the bill will be formally debated and amended, can now proceed, paving the way for the legislation to advance further in the Senate. Upon the bill becoming law, the Treasury and CFTC will have a year to establish detailed rules governing what crypto firms can and cannot do with yield products.
Daniel Reis-Faria, CEO of ZeroStack, noted in a statement that Bitcoin's range-bound trading reflects broader macro uncertainty rather than crypto-specific weakness. Reis-Faria cited ETF outflows and softer demand as symptoms, stating, "It doesn't mean institutions are leaving the market; it just means they're not increasing their exposure currently. If money starts flowing back in, especially from institutions or through ETFs, Bitcoin can move higher relatively quickly." Other major cryptocurrencies had mixed performances. Ether maintained a value of $2,310, XRP was at $1.39, and Solana was at $84.57, all relatively flat for the week.
Dogecoin stood out with a nearly 10% weekly increase to $0.105, as futures open interest reached a year-high earlier in the week. The setup heading into the next week remains the same as it has been all month. Bitcoin requires a fresh catalyst to break decisively above $78,000, and the most likely sources – Fed clarity, ETF re-acceleration, or a Hormuz reopening – are beyond the market's control.