The S&P 500 reached a new record high, while Bitcoin briefly approached the $80,000 mark earlier on Saturday. The largest cryptocurrency traded at $78,180 during Asian hours, marking a 0.8% weekly increase and recovering from a Wednesday low of approximately $75,500, which was triggered by reports of increased military tensions in Iran. The rebound coincided with news that Tehran had proposed a new ceasefire through Pakistan, resulting in a nearly 3% drop in WTI crude prices to around $102 per barrel.
Equities experienced a stronger week, with the S&P 500 closing 0.3% higher on Friday at an all-time high, marking its fifth consecutive weekly gain driven by robust earnings from tech giants. The Nasdaq 100 advanced 0.9% to a record high, with Apple gaining 3.2% after exceeding revenue expectations and Oracle rising 6.5% following its announcement of collaborating with the Pentagon's classified networks on AI projects. A significant development in the crypto sector was the release of the long-negotiated Clarity Act compromise by the Senate, which ended months of deliberations between crypto firms and banking lobbyists.
The agreement, facilitated by Senators Thom Tillis and Angela Alsobrooks, prohibits stablecoin issuers from offering yield solely based on reserve holdings but preserves reward programs tied to platform activity. Coinbase promptly expressed support for the compromise, with its Chief Legal Officer, Paul Grewal, stating that the language "preserves activity-based rewards tied to real participation on crypto platforms and networks, aligning with the bank lobby's demands." The Senate Banking Committee can now proceed with a markup, clearing the path for the legislation to advance further in the Senate. The Treasury and CFTC will have a year to establish detailed rules governing crypto firms' yield products after the bill becomes law.
Daniel Reis-Faria, CEO of ZeroStack, noted that Bitcoin's range-bound trading reflects broader macroeconomic uncertainty rather than crypto-specific weakness, citing ETF outflows and softer demand as indicators. Reis-Faria suggested that if institutional investment or ETF inflows increase, Bitcoin could rapidly move higher. Other major cryptocurrencies were mixed, with Ether holding at $2,310, XRP at $1.39, and Solana at $84.57, all relatively flat for the week. Dogecoin stood out, gaining nearly 10% to $0.105, with futures open interest reaching a year-high earlier in the week.
The market setup heading into the next week remains unchanged, with Bitcoin requiring a new catalyst to break decisively above $78,000, and potential sources such as Fed clarity, ETF re-acceleration, or a Hormuz reopening remaining outside the market's control.