Crypto longs worth $570 million wiped out as Clarity Act fails
Bullish crypto futures bets worth millions have been liquidated in 24 hours. Bitcoin and ether longs have taken in the most losses.
Crypto traders holding long, or bullish, futures bets have taken a sharp hit over the past 24 hours after the Clarity Act failed a Senate procedural vote.
Exchanges liquidated about $571 million in long positions in that window, the highest tally since Aug. 22, according to CoinGlass. Shorts, or bearish bets, accounted for only about $100 million of the wipeout.
Bitcoin and ether longs absorbed the heaviest damage, with roughly $190 million liquidated in each. Analysts had flagged ether and DeFi tokens as the assets most likely to outperform bitcoin if the Senate voted yes. XRP longs lost about $30 million, while Solana longs lost about $22 million.
The rally began to unwind about 24 hours ago as reports circulated that Democrats were still holding the line. Those reports proved accurate. The bill failed to clear the Senate’s 60-vote procedural hurdle. The effort is not entirely over. The CFTC and SEC can still move ahead with their own rule making. In other words, the regulatory momentum has shifted entirely to the executive branch and independent agencies following the U.S. Senate’s 49–50 procedural vote blocking the CLARITY Act.