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Senate Votes to Include CBDC Ban in Bipartisan Housing Bill

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The United States Senate took a clear stance on central bank digital currencies (CBDCs) by attaching a prohibition to the 21st Century Road to Housing Act. In a vote that reflected strong bipartisan skepticism about a government-issued digital dollar, the chamber approved an amendment barring the Federal Reserve from issuing CBDCs through December 31, 2030. The measure, which passed 89-10, would force the Fed to refrain from creating or facilitating a central bank digital currency or any digital asset substantially similar to one, whether directly or through intermediaries. While the amendment imposes a hard stop on CBDCs, it leaves room for private, dollar-denominated digital currencies that are open, permissionless, and private—such as stablecoins.

Beyond the legislative language, the discussion underscored a broader rift over the future of digital money in the United States. Proponents of private digital dollars argue that dollar-pegged, open financial instruments could bolster payment efficiency and resilience, while CBDC skeptics warn of state surveillance and centralized control. The amendment’s language and the surrounding debate reflect a pivotal moment in which lawmakers weigh the balance between financial innovation and constitutional protections.

Key takeaways

  • The Senate approved an amendment to the 21st Century Road to Housing Act that would block the Federal Reserve from issuing a central bank digital currency until at least the end of 2030, in a 89-10 vote.
  • The amendment prohibits the Board of Governors of the Federal Reserve System or a Federal Reserve Bank from issuing or creating a CBDC, or any digital asset substantially similar to a CBDC, directly or indirectly through a financial intermediary.
  • Open, permissionless, and private dollar-denominated digital currencies—such as stablecoins—are explicitly not prohibited by the bill, signaling a preference for private digital dollars over a government-run CBDC.
  • Lawmakers framed CBDCs as potential tools for surveillance and control, with a coordinated push from some members to secure a permanent ban rather than a temporary moratorium.
  • Prominent voices in the debate, including Representative Ralph Norman and Representative Warren Davidson, criticized CBDCs as threats to economic freedom and privacy, while figures such as Ray Dalio warned of expanded government reach under a CBDC regime.

Market context: The bill arrives amid ongoing national discussions about how to regulate and deploy digital money, balancing innovation with consumer protections and privacy considerations. The stance on CBDCs could influence how the administration and regulators approach digital payments, stablecoins, and potential future policy tools in a rapidly evolving sector.

Why it matters

The amendment’s passage signals a legislative preference for limiting federal influence over the form and reach of digital money in the near term. By barring CBDC issuance through 2030, lawmakers create a period of regulatory ambiguity for the Fed and other federal agencies, potentially slowing any centralized digital-dollar program and shaping private sector experimentation in stablecoins and other dollar-linked instruments. The carve-out for open, permissionless, private digital currencies acknowledges the continued vitality of the private sector in building digital payment rails, while also underscoring that Congress remains wary of government-run monetary infrastructure.

The rhetoric surrounding the bill reflects broader concerns about financial sovereignty. Critics argue that CBDCs could enable pervasive financial surveillance, programmable money, and coercive policy tools, whereas proponents contend that a well-regulated CBDC could modernize payments, increase financial inclusion, and improve monetary policy transmission. The debate has drawn inputs from lawmakers across the spectrum, including a March 6 letter signed by more than 30 representatives urging a permanent CBDC ban rather than a temporary halt. The document frames CBDCs as a potential expansion of governmental power over the private economy, a theme that recurs in the remarks of opponents who emphasize civil liberties and market freedom.

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In parallel, notable financial thinkers have weighed in on the implications of CBDCs. Ray Dalio, a prominent investor, has warned that CBDCs could drastically expand governmental control over individuals’ finances, with remarks highlighting concerns about privacy and state reach. These comments have fed into the broader political narrative that a centralized digital dollar would reshape how citizens interact with money and how monetary policy translates into daily life. At the same time, discussions about stablecoins—dollar-pegged instruments issued by private entities—are often cited as a counterpoint to CBDCs, with supporters arguing they offer a market-driven alternative while critics worry about regulatory gaps and systemic risk.

Overall, the Senate’s move to insert a CBDC prohibition into housing legislation places the issue at the intersection of monetary policy, civil liberties, and the evolving infrastructure of digital finance. The amendment’s language draws a bright line around government-issued digital money, while leaving room for private digital currencies to operate under market-driven incentives and existing financial regulations. The contrast between a centrally administered CBDC and privately issued stablecoins represents a central tension in the governance of digital money—a tension that lawmakers will continue to navigate as the policy conversation unfolds.

What to watch next

  • Bridge to the House: Monitor whether the House of Representatives adopts a companion provision or different language regarding CBDCs in the ongoing version of the bill.
  • Averting amendments: Track any amendments introduced in committee that could alter the CBDC ban’s scope or timing.
  • GENIUS Act progress: Follow developments related to the Guiding and Empowering Nation’s Innovation for US Stablecoins (GENIUS) Act and its implications for private digital currencies.
  • Fed communications: Watch for forthcoming statements or policy papers from the Federal Reserve that outline its stance on digital currencies and potential future pilots or research.
  • Regulatory framework for stablecoins: Expect continued scrutiny of dollar-denominated private digital currencies and any broader regulatory proposals affecting stablecoins.

Sources & verification

  • Text of the amendment in the 21st Century Road to Housing Act (PDF MIR26311) from the US Senate.
  • Senate vote tally showing the 89-10 passage of the amendment.
  • Letter signed by over 30 lawmakers urging a permanent CBDC ban, discussed in public statements and on social media.
  • Interviews and remarks cited regarding CBDC surveillance concerns, including comments from investors and policymakers.
  • Documentation and analysis related to the GENIUS Act and its relevance to private stablecoins.

Why it matters (expanded)

The legislative stance reflected in the amendment provides a concrete waypoint in the United States’ evolving stance on digital money. If the House and the executive branch align with or diverge from this approach, the policy trajectory for CBDCs could become clearer or more contested. For market participants, the absence of an immediate CBDC program reduces near-term policy risk around central bank digital money while maintaining a focus on the growth and regulation of private digital currencies. For builders and investors, the distinction between a regulated private dollar and a hypothetical government-issued CBDC continues to shape product design, compliance strategies, and the risk calculus around digital payment ecosystems.

Key figures and next steps

Lawmakers cited in the debate emphasize a preference for preserving financial privacy and avoiding centralized tools that could enable monetary controls. While the Senate acted decisively on the amendment, observers say the broader fight over CBDCs and digital dollars will likely persist across committee hearings, floor votes, and regulatory proposals. The coming months could reveal whether the administration decides to pursue a CBDC variant through different channels or to double down on private-sector-led digital currencies as the primary vector for modernization in payments and monetary policy tools.

What this means for users and investors

For users and investors, the latest development signals a continued preference for private, dollar-denominated digital assets over a federally issued CBDC in the near term. It also reinforces the importance of robust regulatory frameworks for stablecoins and other digital instruments that could influence liquidity, settlement speed, and monetary policy transmission in the digital asset space. As lawmakers debate the pros and cons of centralized digital money, the market will likely watch for any shifts in Fed communications, related legislative efforts, or new initiatives aimed at balancing innovation with privacy and financial stability.

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Risk & affiliate notice: Crypto assets are volatile and capital is at risk. This article may contain affiliate links. Read full disclosure

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Bitcoin weathered 85% drawdown, eyes $34K

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Bitcoin’s drawdown narrative is shifting from a pattern of extreme collapses to a more mature market dynamic, according to Cathie Wood, the founder and CEO of ARK Invest. In a CNBC appearance on Squawk Box dated April 1, Wood argued that the era of 85% or greater corrections may be behind BTC, framing the asset as a proven technology and monetary tool rather than a volatile tech experiment.

Speaking amid a price backdrop around the 69,000 level—the prior all-time high reached in 2021—Wood’s remarks come after a long bear market that wiped out roughly 80% of BTC’s value before a bottom near 15,600. On-chain data, however, suggest the current downturn has not yet mirrored the depth seen in prior cycles. Glassnode data indicate the bear market’s maximum drawdown from BTC’s peak remains well short of past extremes, around 52% from the record high of about 126,200 in October 2025.

Key takeaways

  • ARK Invest’s Cathie Wood argues Bitcoin is past the era of 85%+ price collapses, framing BTC as a proven technology and monetary asset rather than a speculative fad.
  • Analysts disagree on the next significant price level: a chartist forecast points to roughly $34,000 as a bottom (a 72% drawdown), while consensus from broader coverage points to a range of roughly $40,000 to $50,000.
  • On-chain data show the bear market depth to date is shallower than in some previous cycles, with maximum drawdown around 52% from the all-time high, suggesting a potentially different extinction-like pattern for BTC.
  • April seasonality and near-term momentum remain in focus: some analysts see historical patterns of spring recoveries during bear phases, while macro headlines and liquidity conditions continue to influence the path forward.

Wood’s view: BTC’s maturation and the new normal

Wood’s comments came during a dialogue about Bitcoin’s long-run narrative. She stressed that the 85–95% declines associated with earlier, less mature markets are unlikely to recur for Bitcoin, a narrative she frames as evidence of BTC’s transformation into a validated monetary system and a new asset class. The remarks echo her longstanding bullish stance on Bitcoin, which has been a hallmark of ARK’s research orientation toward disruptive technologies.

At the time of her appearance, Bitcoin was hovering near the post-2021 high watermark—an area that previously marked the transition into a multi-quarter bear cycle. Wood’s perspective contrasts with the more cautious or range-bound themes that have dominated much of the current trading backdrop, where macro conditions, policy signals, and sector rotation often determine day-to-day moves.

That said, Wood’s optimism sits alongside a chorus of caution from other analysts who note that the road ahead remains data-driven and uncertain—a reminder that even as BTC stabilizes, macro headwinds can quickly reassert themselves.

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Forecasts diverge on the floor of the bear market

While Wood’s stance centers on BTC’s maturation, other voices point to specific downside scenarios. Tony Severino, a veteran market technician, floated a bottom near $34,000, implying a 72% drawdown from the peak. He summarized the trajectory in a post on X, suggesting that a decline to that level would mark a “max drawdown” consistent with a new phase for the asset.

Beyond Severino’s projection, broader market commentary remains split. A section of traders and analysts continues to anticipate a bottom in the higher $40,000s to low $50,000s, a range that Cointelegraph has cited in prior coverage as a common region for a generational floor rather than a catastrophic collapse. For some observers, the 40k–50k zone remains the anchor for a long-term re-rating of Bitcoin’s risk profile.

Meanwhile, Bloomberg Intelligence analyst Mike McGlone has warned that prices could be trending toward seven-year lows, underscoring the risk that macro developments—such as central-bank policy and global liquidity—could extend the bear phase even as on-chain metrics offer a more nuanced view of drawdown depth.

Seasonality, on-chain signals, and what to watch next

Seasonality has long been cited as a potential internal driver of Bitcoin’s price path. Timothy Peterson, a network economist and commentator, highlighted a pattern in which April historically functions as a turning point during bearish cycles. A chart he shared on X illustrates April as a potential inflection month in past bear phases, though whether that dynamic repeats remains contingent on broader market conditions.

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March’s monthly close added a modest, 1.8% gain for BTC/USD, effectively ending a five-month losing streak. The move, while not dramatic, keeps the door open for a spring rebound, provided macro momentum aligns with technical and on-chain signals.

On-chain context adds another layer to the discussion. Glassnode’s analysis shows that the current bear market’s depth—though material—is not yet aligned with the most severe declines observed historically. The all-time high of roughly 126,200 in October 2025 has given way to a drawdown of about 52%, a figure that suggests the market could behave differently than in previous cycles if macro conditions stay supportive or liquidity improves.

For investors, this combination of on-chain resilience and mixed macro signals creates a nuanced backdrop. A Bitcoin trading environment shaped by a less severe drawdown yet ongoing external headwinds could translate into a more protracted consolidation rather than a sharp capitulation or a swift breakout. Observers will be watching for signs of sustained demand, improving liquidity in risk markets, and any shifts in policy that could alter the risk-reward calculus for crypto exposure.

As the calendar turns to April, market participants will parse a mix of seasonality whispers, data-driven cautions, and evolving macro narratives. The next several weeks could prove decisive in whether BTC resumes a broader uptrend, remains range-bound, or teeters on renewed volatility as external conditions shift.

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This article synthesizes observations from multiple sources, including Cathie Wood’s CNBC discussion, on-chain data from Glassnode, and commentary from market analysts such as Tony Severino and Mike McGlone, as well as prior coverage from Cointelegraph on price floors and seasonality in Bitcoin’s bear markets. Investors should treat forecasts as probabilistic scenarios rather than certainties and remain mindful of the evolving macro landscape that continues to shape crypto markets.

Risk & affiliate notice: Crypto assets are volatile and capital is at risk. This article may contain affiliate links. Read full disclosure

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Cartesi price jumps over 100% as it hits Stage 2 security status, can it go higher?

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Cartesi price has broken out of a descending parallel channel pattern on the daily chart.

Cartesi token soared over 100% to a 3-month high of $0.049 on Friday. Will the Layer 2 token edge higher over the coming sessions, or will it succumb to profit-taking?

Summary

  • Cartesi price surged over 100% to a three-month high amid a sharp rise in trading volume and a short squeeze.
  • The rally was driven by progress toward L2BEAT Stage 2 status and growing developer activity around Cartesi Machine deployments.
  • Technical indicators show overbought conditions and profit-taking signals, with CTSI price at risk of a pullback toward $0.030 support.

According to data from crypto.news, Cartesi (CTSI) price rallied nearly 110% to $0.049 on Friday, reaching its highest level since November 2022.

The rally came in a high-volume trading environment. In the past 24 hours,  the daily trading volume of Cartesi rose 1,260%, suggesting a sharp rise in demand from traders that likely buoyed the token toward its highs today.

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There are three main reasons why Cartesi price broke out today.

First, Cartesi’s Permissionless Refereed Tournament fraud-proof system is reportedly nearing the Stage 2 classification by L2BEAT. This milestone would rank it among the most secure and decentralized Layer 2 scaling solutions, setting it apart from competitors that still rely on permissioned validators.

Second, the project’s recent initiative to ship high-throughput applications reached critical implementation deadlines in April. Tangible developer interest in the Cartesi Machine, which allows decentralized apps to run on Linux, is finally translating from theoretical potential into live deployments.

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Third, after months of trading in a narrow range of $0.02 to $0.025, the sudden break above long-term resistance triggered a volatility spike. This caused a short squeeze, forcing bearish traders to buy back their positions and further fueling the massive gains seen today.

On the daily chart, Cartesi price has broken out of a multi-month descending parallel channel pattern, a sign that bulls have finally gained control of the market. It has already attained the target level from the breakout, suggesting there could be some selloff on the horizon.

Cartesi price has broken out of a descending parallel channel pattern on the daily chart.
Cartesi price has broken out of a descending parallel channel pattern on the daily chart — April 3 | Source: crypto.news

Such selloff risks also come as the relative strength index has crossed the overbought threshold. Crypto rallies often face some pullback when this metric hits an overbought state.

Additionally, the Chaikin Money Flow index showed a negative reading, a sign that investors have started to rotate capital or take profits at these higher levels.

Hence, the Cartesi token could likely retest its immediate support of $0.030 before its next leg higher.

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Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.

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Cathie Wood Sees No More 85% Bitcoin Price Drawdowns Versus All-Time Highs

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Cathie Wood Sees No More 85% Bitcoin Price Drawdowns Versus All-Time Highs

Bitcoin (BTC) is “done” with drawdowns of 85% or more from all-time highs, says ARK Invest CEO, Cathie Wood.

Key points:

  • Bitcoin will not see another correction of 85% or more versus its latest all-time high, Cathie Wood argues.

  • A new prediction sees $34,000 becoming the next BTC price bottom.

  • Bitcoin bear-market seasonality hints that a reversal could come this month.

Wood on BTC price: No more 85% “collapses”

In an interview with CNBC’s Squawk Box segment on April 1, Wood stayed calm about double-digit BTC price losses.

“Believe it or not, in the Bitcoin community, down 50% — if that’s as far as it goes — they’ll consider that a real victory,” she said.

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“Because you’re right; the 85-95% collapses associated with a very new technology — that’s done. This is a proven technology, it’s a proven monetary system and it’s a new asset class.”

Wood, a longtime Bitcoin bull, was speaking as Bitcoin circled its old $69,000 all-time highs from 2021.

Those preceded a year-long bear market in which BTC/USD lost nearly 80% before bottoming at $15,600. That marked the latest such correction, with bear markets typically bringing losses around the 80% mark.

Data from onchain analytics platform Glassnode shows that the current bear market has yet to match historical patterns with maximum downside versus Bitcoin’s $126,200 record from October 2025 at 52%.

BTC price drawdowns from all-time highs. Source: Glassnode

Responding to Wood, analyst Tony Severino predicted that 2026 would bring a price bottom equal to a 72% drawdown.

“Correct, -72% max drawdown next =$34,000,” he wrote on X.

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That figure exceeds commonly held predictions by traders for where Bitcoin’s next generational floor will be. As Cointelegraph reported, consensus favors the area between $40,000 and $50,000.

This week, however, Bloomberg Intelligence analyst Mike McGlone warned that price may already be trending toward seven-year lows

Bitcoin historically rebounds in April

Continuing the bear-market comparison, data from network economist Timothy Peterson revealed that April could mark some form of inflection point for price.

Related: Bitcoin risks new lows as US dollar targets highest level since April 2025

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A chart uploaded to X this week shows April typically being a recovery month during bearish phases. 

Bitcoin bear-market price comparison. Source: Timothy Peterson/X

The March monthly close, meanwhile, ended a five-month losing streak for BTC/USD with modest gains of 1.8%.