Bitcoin held above $64,000 on Wednesday, clocking a 1.1% daily gain despite wild swings between $63,900 and $64,706. The move was enough to trigger $148 million in short liquidations across the crypto market, as traders betting on a price drop got squeezed out of positions.
The largest single hit came from leveraged bitcoin bets. Of $52 million in short positions on BTC alone, $45 million got wiped out in the liquidations. Broader crypto markets saw roughly $216 million total in forced closures, with shorts accounting for nearly two-thirds of that damage. The pattern was textbook: modest upside pressure turning into sharp pain for the bearish side.
Beneath the price action sits a political question that traders can't ignore. The CLARITY Act, which analysts view as a potential catalyst for bitcoin this year, saw its odds of passing collapse. Polymarket slashed the legislation's 2026 passage probability to just 15%, a dramatic reversal from weeks earlier. Senate Majority Leader John Thune signaled plans to file cloture on Tuesday, but Democrats made clear they'd block the move. With Congress heading into recess and less than 48 hours on the calendar, passage through a divided chamber looks increasingly unlikely. Talks are now expected to resume in September.
The price traded just under $64,600 by early afternoon, market cap hovering near $1.3 trillion. Each rally still stalled once bitcoin touched $64,400, suggesting buyers and sellers remain locked at familiar territory.
This article provides market information and does not constitute investment advice. Crypto markets carry substantial risk. Always conduct your own research before making trading decisions.
