Bitcoin Price Analysis: BTC Resilient Despite Headwinds, ETFs Snap Outflow Streak
Bitcoin (BTC) returned above $92,000 on Tuesday, reaching an intraday high of $92,590 before moving to its current level of $92,121, up over 1%. The flagship cryptocurrency has shown remarkable resilience after the US Department of Justice (DOJ) opened an investigation into Federal Reserve Chair Jerome Powell.
Investors remain cautious, and price action remains muted. However, spot Bitcoin ETFs snapped a four-day outflow streak to record $116 million in net inflows on Monday.
Lawmakers Push CLARITY Act After Senate Roadblock
The Senate Agriculture Committee has delayed the markup of the CLARITY Act after failing to secure enough bipartisan support. Senate Agriculture Committee Chair John Boozman confirmed the panel will delay the markup to the final week of January to preserve bipartisan support. The committee initially planned the markup for the ongoing week alongside a parallel session in the Senate Banking Committee. However, Boozman said the committee needs more time to secure enough votes from both parties before moving forward.
The delay is largely due to several unresolved issues. Lawmakers are deeply divided over stablecoin rewards, regulatory treatment of decentralized finance (DeFi), and jurisdiction between the United States Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC).
South Korea Planning To Lift Corporate Crypto Investment Ban
South Korea’s Financial Services Commission (FSC) is reportedly mulling lifting the ban on corporate crypto investment. The ban has been in place for nine years. If lifted, listed companies will be allowed to invest up to 5% of their equity capital in crypto assets. According to reports, a senior FSC official said that authorities will release the final guidelines in January or February, allowing virtual currency transactions for investment and financial purposes by legal entities. Japanese authorities had banned institutional participation in crypto in 2017 due to rising concerns about money laundering.
Bitwise Criticizes 401(k) Resistance To Bitcoin
Bitwise Chief Investment Officer Matt Hougan has criticised the idea that Bitcoin shouldn’t be used for investment and 401(k) because of volatility. Hougan argued that stocks are also prone to wild price swings. Hougan’s comments came the same day Senator Elizabeth Warren asked the United States Securities and Exchange Commission (SEC) for answers on how it plans to mitigate risks associated with allowing crypto in retirement funds. Hougan called attempts to block Bitcoin investment in 401(k)s ridiculous, stating,
This is just another asset. Does it go up and down? Absolutely. Is there a risk in it? Absolutely. But it’s actually less volatile over the last year than Nvidia stock, and you don’t see any rules about banning 401(k) providers from offering Nvidia stock.
Bitcoin (BTC) Price Analysis
Bitcoin (BTC) reclaimed the $92,000 mark early on Tuesday, reaching an intraday high of $92,590 before moving to its current level. The flagship cryptocurrency is up almost 1% during the ongoing session, trading around $92,031.
However, price action remains muted as investors exercise caution after the US Department of Justice opened an investigation into Federal Reserve Chair Jerome Powell. Analysts state that Bitcoin will remain muted around $92,000, a level where short-term volatility is colliding with long-term conviction. However, spot-Bitcoin ETFs finally broke a four-day outflow streak on Monday, recording $116.7 million in net inflows. Bitcoin remains over 25% below its October 2025 peak while gold and silver surge to new highs. The divergence between the price of Bitcoin and metals like gold and silver has led investors to question Bitcoin’s digital store-of-value. Analysts believe investor caution will likely persist as the US is unlikely to deliver further economic stimulus in the near term.
Interest rate expectations have also dropped, with Goldman Sachs no longer expecting a rate cut in March. The banking giant highlighted resilient labor market data and sticky inflation. President Trump has repeatedly criticized the Fed for keeping interest rates high even as inflation hovered above the 2% target throughout the last six months of 2025. The US Department of Justice has also opened an investigation into Fed Chair Jerome Powell over the Fed’s building renovation project. Powell claimed the move was in retaliation for the Fed holding interest rates higher than President Trump would like.
The threat of criminal charges is a consequence of the Federal Reserve setting interest rates based on our best assessment of what will serve the public, rather than following the preferences of the President.
BTC ended the previous weekend in positive territory, rising 0.99% to $91,494. Bullish sentiment intensified on Monday as the flagship cryptocurrency rose 2.60%, crossing $93,000 to $93,870. Selling pressure returned on Tuesday as the price dropped to a low of $91,203 before reclaiming $93,000 and settling at $93,722. Selling pressure intensified on Wednesday as BTC fell nearly 3% to $91,279. Sellers retained control on Thursday as the price briefly fell to a low of $89,200 before settling at $91,026.
Source: TradingView
BTC faced volatility on Friday as buyers and sellers struggled to establish control. Sellers ultimately gained the upper hand as the price fell 0.56% to $90,515. Price action was mixed over the weekend as BTC registered a marginal drop on Saturday before rising 0.54% on Sunday to $90,872. The price faced volatility on Monday as buyers and sellers struggled to establish control. Buyers ultimately gained the upper hand as BTC registered a marginal increase to $91,188. The flagship cryptocurrency is up almost 1% during the ongoing session, trading around $92,065.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.