$BTC Down 20% and Everyone Blames the Clarity Act. Here’s the Real Reason.

Bitcoin is down about 25% since the Clarity Act was approved by the Banking Committee, and I keep seeing people describe this as an early sign that the Senate will reject it. I don’t believe that, and this is my honest opinion.
The Act hasn’t been rejected yet. If anything, it’s moving forward. On June 1, it was placed on the Senate Legislative Calendar, which means it’s now in line for a full vote on the floor. That’s progress, not death.
So why is the price still falling? In my view, that’s pretty clear. ETFs have been pulling out for 13 consecutive days, around ~$4.4 billion missing without a single green day. They’ve been the main buyers all year, and once they step back, the market loses its support. In addition, selling from Strategi is making people uneasy—money is rotating into stocks and AI names, and a tight Federal Reserve stance plus tensions in the Middle East are pushing everyone away from risk.
I keep hearing stories about accumulation and pressure too—big players forcing prices down to buy cheap before regulation is passed. Honestly, I don’t see that on-chain. What I see is outflows and forced selling, not quiet buying. So I avoid that narrative until the data truly supports it.
The only real risk I see for this Act is the Senate’s tight schedule, not rejection.
At the levels, 65K and 70K have already broken and are now acting as resistance. I’m watching 60K closely. If 60K drops, 50K is on the table. RSI is extremely oversold, so I wouldn’t be surprised if there’s a sharp rebound here.
My view remains the same. This decline is liquidity and macro, not Senate rejection. Separate those two stories, and you’ll read this market better than most people.
TA Only. Not Financial Advice. ALWAYS Do Your Own Research.