Bitcoin falls below $73,000 despite Trump’s push for CLARITY Act
Geopolitical turmoil and massive ETF outflows overwhelm regulatory optimism as BTC sheds 3.5% in a single day.
Share
Add us on Google by Editorial Team May. 28, 2026Bitcoin slid below $73,000 on May 28, hitting lows around $72,800 to $72,900, a decline of roughly 3.4% to 3.6% in just 24 hours. The drop came even as former President Trump continued lobbying hard for the Digital Asset Market Clarity Act, a bill that would give crypto its most comprehensive federal regulatory framework to date.
What triggered the sell-off
The immediate catalyst was US airstrikes on Iran, which sent shockwaves through risk assets broadly. Between $900 million and $1 billion in crypto liquidations hit within 24 hours.
Spot Bitcoin ETFs saw heavy redemptions. BlackRock’s IBIT recorded a $448 million single-day outflow, marking the second-largest daily redemption since the fund launched. Total IBIT outflows through mid-to-late May exceeded $1.5 billion.
AdvertisementThe CLARITY Act and why Trump keeps pushing it
The CLARITY Act, formally known as the Digital Asset Market Clarity Act of 2025, passed the House in July 2025 with bipartisan support. On May 14, 2026, the Senate Banking Committee voted 15-9 to advance a substitute version, putting it on a path toward a full Senate vote. White House advisers have pointed to potential passage windows around July 4 or early August.
The bill would draw a clear line between which digital assets qualify as commodities, falling under CFTC oversight, and which count as securities regulated by the SEC. Mature, sufficiently decentralized tokens like Bitcoin would be classified as digital commodities, representing the first explicit federal authority granted over such assets.
Trump has been vocal about wanting the bill passed quickly, criticizing banks and lawmakers for dragging their feet. He’s tied the CLARITY Act to a broader pro-crypto policy agenda, positioning the US as a potential global hub for digital asset innovation.
Two forces pulling in opposite directions
The $1.5 billion in IBIT outflows is particularly worth watching. When spot Bitcoin ETFs launched in January 2024, the narrative was all about persistent inflows creating a structural demand floor for BTC. Sustained redemptions from the market’s largest fund could erode that floor.
The CLARITY Act still needs to pass a full Senate vote, survive reconciliation with the House version, and get signed into law. Watch the Senate floor schedule for signs of a CLARITY Act vote, monitor ETF flow data, and track geopolitical developments in the Middle East.
Disclosure: This article was edited by Editorial Team. For more information on how we create and review content, see our Editorial Policy.
