Bitcoin gained 5% to trade above $80,000 as traders moved into riskier assets despite the Senate's failure to advance the Clarity Act and a Federal Reserve rate hike. Derivatives traders were heavily positioned in call options, while the break above roughly $78,000 triggered short liquidations. A House committee also advanced a Strategic Bitcoin Reserve bill that would lock government-held tokens in a federal reserve for at least 20 years and require regular audits. The measure still needs approval from the full House and Senate.