Bitcoin’s price dropped 10% from a recent high of $76,000, erasing the previous week’s gains as traders reduced risk around the Federal Reserve’s March 18th rate decision. Spot Bitcoin ETFs recorded $323 million in net outflows, breaking a seven-day inflow streak, though the price found potential support at a key technical level. In separate developments, Morgan Stanley amended its spot BTC ETF application, while SEC Chairman Paul Atkins clarified the agency’s recent guidance on crypto assets.
Bitcoin erased its gains from last week as traders de-risked around the Fed’s March 18th rate decision. After surging 15% to a local high of $76,000, partly boosted by geopolitical tensions, BTC reversed and fell 10% over three days.
Spot Bitcoin ETF investors led the risk-off move, recording $323 million in net outflows. This broke the inflow streak seen over the previous seven trading days, though the pullback later hit a key technical support level.
In regulatory news, Morgan Stanley submitted an amended S-1 registration to the SEC for its spot BTC ETF. The application, which lists Coinbase and BNY Mellon as custodians, carries the proposed ticker MSBT.
Bloomberg ETF analyst James Seyffart noted that the amendment meant MSBT would debut soon. If approved, Morgan Stanley would be the first major U.S. bank to directly issue its own spot Bitcoin ETF.
Separately, SEC Chairman Paul Atkins clarified the agency’s plans following its recent interpretation that deemed most digital assets as non-securities. Atkins stated this was “just the beginning,” acting as a bridge while Congress advances the broader CLARITY Act.
He added, “Our rules must be clear enough to guide markets, flexible enough to accommodate innovation, and firm enough to protect investors.” The SEC plans to follow the guidance with a proposed rule and a regulatory sandbox for exemptions.
