Bitcoin price surges above $81,000 despite crypto setbacks

Bitcoin's price rose above $81,000 on Friday. Bitcoin reached $81,055 during Friday morning trading in New York. Bitcoin was recently trading at $80,982. Bitcoin's price rose nearly 6% over 24 hours. Lawmakers blocked the Clarity Act in a procedural vote on Tuesday. The bill aimed to divide crypto oversight between regulators. The Federal Reserve raised interest rates on Wednesday. The move increased borrowing costs for the first time because of high inflation in the United States. Federal Reserve Chair Kevin Warsh said price stability was the central bank's top priority. Warsh said inflation was too high and had remained high for too long. Bitcoin's price initially fell after the Clarity Act blockage and the Federal Reserve's move. Bitcoin exchange-traded funds in the United States recorded nearly $427 million in net outflows this week, according to Farside Investors data. The funds recorded nearly $160 million in inflows on Thursday after two consecutive days of outflows. Grayscale said it did not expect the Federal Reserve's decision to hurt bitcoin's price. Grayscale described the rate move as a mid-cycle adjustment rather than a cyclical change. Regulators such as the SEC were already advancing pro-crypto regulation.