Bitcoin Holds Near $79K as SEC Pushes Forward New Crypto Custody Rules
Market Recovers After Inflation Scare
Bitcoin closed at roughly $79,027 on Wednesday, gaining about 0.6% after briefly dipping when a hotter-than-expected U.S. inflation reading rattled traders. The pullback came only days after bitcoin had broken above $80,000 for the first time this cycle, and the asset gave up that milestone once the inflation data landed. Ethereum settled around $2,506, up roughly 2.6%, while Solana was the day's standout among major coins, climbing nearly 6% to about $102. Separate market data put bitcoin's price closer to $78,700–$78,800 early Thursday, with the total cryptocurrency market capitalization rising about 0.8% to roughly $2.76 trillion and 24-hour trading volume near $80 billion. Bitcoin's share of the overall market held near 57%, with Ethereum around 11%.
For American traders, the move highlights how sensitive crypto prices remain to macroeconomic data. Leveraged positions were unwound as the market digested the inflation print, a pattern that has repeated throughout the year whenever fresh economic figures shift expectations for Federal Reserve policy.
SEC Sends New Custody Rule to the White House
While traders watched price action, U.S. regulators took a bigger step behind the scenes. The SEC sent a proposal changing how investment advisers hold digital assets to the White House's Office of Information and Regulatory Affairs, part of the Office of Management and Budget, for review this week. The overhaul could give investment advisers and funds greater clarity on how they are permitted to hold crypto assets for clients while remaining compliant with federal securities rules.
This is the SEC's second attempt at a crypto custody rule for investment advisers — an earlier effort under former Chair Gary Gensler, which would have limited custody largely to banks, trust companies, and registered broker-dealers, drew heavy pushback and never advanced. The current version is expected to loosen rather than tighten the rules, removing requirements the agency now views as outdated.
Before the rule can move forward, the OMB must finish its review, after which the SEC can hold a formal vote, publish the proposal, and open a public comment period of at least 60 days. The custody rule is separate from the SEC's "Regulation Crypto Assets" proposal submitted August 18, which deals with how digital-asset investment contracts are offered. The custody filing also follows a delay to the Clarity Act, the broader market-structure bill that lawmakers had hoped to pass before the August recess.
What It Means for the U.S. Market
Together, these two developments capture the current state of crypto in America: a market still reacting sharply to short-term economic data, and a regulatory environment quietly becoming more accommodating for institutional players. Since Paul Atkins became SEC chair in 2025, the agency has moved away from enforcement-heavy tactics toward building clearer rules for the industry, and the custody proposal is widely seen as another piece of that shift. If finalized, clearer custody standards could make it easier for U.S. investment advisers to offer crypto exposure to clients — a change that may matter more for the market's long-term trajectory than any single day's price swing.
