Bitcoin's recent surge has triggered a wave of liquidations across the derivatives market, wiping out around $700 million in short positions as traders caught off guard scramble to cover losses. The sharp move upward has reshaped market dynamics, forcing significant deleveraging across major exchanges.

Meanwhile, regulatory progress on a comprehensive market structure bill has hit a snag. Legislative efforts to strengthen oversight of digital asset trading continue to face pushback and procedural delays, leaving the crypto community uncertain about the timeline for new rules.

On the stablecoin front, Tether has frozen approximately $182 million in USDT tokens, underscoring ongoing compliance pressures and risk management protocols within the ecosystem. The move reflects broader scrutiny on reserve backing and transaction controls as authorities tighten their focus on stablecoin operations.