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Bitcoin Rebounds Toward $80K as U.S. Crypto Policies Shift

Bitcoin Rebounds Toward $80K as U.S. Crypto Policies Shift

Fri, April 11, 2025

U.S. Policy Reversals Inject Optimism Into Crypto Market

Cryptocurrency markets are showing early signs of stabilization following weeks of turbulence triggered by geopolitical tensions and policy changes. After briefly dipping below $75,000, Bitcoin (BTC) has rebounded toward the $80,000 mark, thanks in part to favorable developments in U.S. regulatory policy.

One of the most impactful moves came from President Donald Trump, who signed legislation repealing an IRS rule that expanded the definition of “broker” to include decentralized finance (DeFi) platforms. The crypto community had widely criticized the rule for being vague and overly burdensome, particularly for non-custodial entities that don’t hold user funds or collect personal information.

The repeal signals a more lenient approach under the Trump administration, aiming to encourage innovation in the blockchain space while minimizing regulatory friction. In a related shift, the Department of Justice announced a strategic change in its enforcement priorities—opting to focus on individuals involved in illicit crypto activities rather than targeting companies more broadly. This pivot has been interpreted as an olive branch to the industry and could reduce legal uncertainty for exchanges and blockchain startups.

In another regulatory shake-up, Paul Atkins has been appointed as the new chair of the Securities and Exchange Commission (SEC). Known for his pro-business stance, Atkins’ leadership is expected to result in a more hands-off approach toward crypto assets, with less aggressive enforcement actions on existing projects.

For more details, see Reuters and The Wall Street Journal.

Europe and States Warn of Crypto Risks Despite U.S. Pivot

While the U.S. may be taking steps to ease crypto regulation, other jurisdictions are sounding alarms. The European Securities and Markets Authority (ESMA) recently issued a warning about the increasing integration of crypto markets with traditional finance. Although exposure among EU banks remains limited, regulators fear systemic risks could emerge if digital assets become more deeply embedded in financial infrastructure.

Back in the U.S., New York Attorney General Letitia James called on Congress to enact a federal regulatory framework to protect investors and ensure consistent oversight. She emphasized that the lack of unified rules leaves investors vulnerable to fraud, rug pulls, and market manipulation—risks that have plagued the crypto sector in recent years.

Despite differing approaches, one message is clear: crypto is no longer operating on the fringe. It’s now firmly within the sights of global regulators, and upcoming policy shifts—whether supportive or restrictive—are poised to influence investor sentiment and market direction in the months ahead.

With renewed optimism in the U.S. and caution from abroad, traders and institutions alike are closely watching how regulation, innovation, and macroeconomic trends will collide to shape the next phase of the crypto cycle.