Yellen’s Positive Comments On Biden’s Crypto EO Push Bitcoin Past $41,000

It only took an unintentionally flattering comment from a high-ranking US official to propel Bitcoin above the $41,000 level.

Bitcoin (BTC) advanced early on Wednesday, boosting the entire crypto market, as US Treasury Secretary Janet Yellen’s inadvertently disclosed comments indicated that US President Joe Biden’s long-awaited crypto directive will take a constructive approach to boost the digital asset sector. regulate.

The crypto order requires steps to foster innovation while managing industry risks. The secretary’s statement appeared in print a day earlier, allegedly due to an error, and was promptly deleted, but kept in a web cache.

Bitcoin, which traded below $40,000 for the past seven days, recovered more than 8% on Wednesday, reaching $41,000 again.

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Detailed report on crypto EO

According to Yellen, the US Treasury Department will work with partners from several agencies to develop a detailed report on the future of money and related payment systems in line with Biden’s EO.

Since early January, Biden’s White House team of financial experts has been working on an executive order over digital assets, which an unnamed source said will help “bring coherence to what the US government is trying to accomplish in this arena.” .

Bitcoin was currently trading at around $38,135 on Tuesday, ahead of Yellen’s comments. Nevertheless, BTC quickly recovered to cross $41,500 shortly after the statement was issued.

BTC total market cap at $795.45 billion on the daily chart | Source: TradingView.com

Yellen’s Comments Increase Bitcoin, Other Cryptocurrency

Bitcoin, in particular, isn’t the only cryptocurrency to experience a rally. Obviously, Yellen’s partial disclosure is in favor of all cryptos in the top ten global crypto rankings.

According to data from Coingecko, Ethereum (ETH) is up more than 7% in the last 24 hours and is currently selling at about $2,715 per coin.

Similarly, Binance Coin (BNB) is up 4.5% while Cardano (ADA), Terra (LUNA), Ripple (XRP), Solana (SOL) and Avalanche (AVAX) are up 8.5%, 18.4%, 5.6% have increased and 3% respectively.

“Based on Yellen’s words, the crypto-EO is a welcome development that calls for a coordinated and comprehensive approach to digital asset regulation that promotes responsible innovation,” Gemini Trust’s Cameron Winklevoss wrote on Twitter.

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Mixed reactions

So far, notable members of the industry have had a mixed response. Evan Van Ness, founder of Week In Ethereum, described the speech as a “nothingburger of a statement”.

However, Altered State Machine founder Aaron McDonald reacted more morosely to the announcement.

McDonald tweeted that Yellen’s comments show that she “wants to make sure we keep the most powerful weapon in our arsenal – the USD as a global settlement.”

Traders expect the Biden administration to enact stricter cryptocurrency laws as part of its efforts to prevent Russia from escaping the mountain of sanctions imposed on the country over its ongoing invasion of Ukraine.

However, Yellen’s favorable comments seem to indicate that the law will certainly benefit the new asset class.

Featured image of Decrypt, chart from TradingView.com

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