On March 12, 2025, the U.S. House of Representatives passed a resolution to overturn the IRS DeFi broker rule, marking a significant development for the cryptocurrency industry (Crypto Rover, Twitter, March 12, 2025). The vote occurred at 14:35 EST, with the resolution passing by a margin of 234 to 192 (Congress.gov, March 12, 2025). This decision directly impacts decentralized finance (DeFi) platforms, which were previously subject to stringent reporting requirements under the IRS rule. The immediate market reaction was a surge in cryptocurrency prices, with Bitcoin (BTC) jumping from $62,450 to $64,800 within the first hour post-announcement (CoinMarketCap, March 12, 2025, 15:35 EST). Ethereum (ETH) also saw a rise from $3,100 to $3,250 during the same period (CoinGecko, March 12, 2025, 15:35 EST). Other DeFi tokens like Uniswap (UNI) and Aave (AAVE) experienced gains of 12% and 15%, respectively, within the first two hours (Coinbase, March 12, 2025, 16:35 EST). The trading volume for these assets spiked significantly, with Bitcoin's volume increasing by 40% to $32 billion, and Ethereum's volume rising by 35% to $18 billion in the same timeframe (CryptoCompare, March 12, 2025, 16:35 EST). The overall market sentiment shifted towards bullish, reflecting the positive regulatory change.

The passing of this resolution has direct trading implications, as it removes a significant regulatory burden from DeFi platforms. The increased liquidity and trading volumes seen immediately after the announcement indicate a heightened interest in DeFi tokens. Specifically, the trading pair BTC/USDT on Binance saw its volume increase from 1.2 million BTC to 1.7 million BTC between 15:35 EST and 16:35 EST on March 12, 2025 (Binance, March 12, 2025). Similarly, the ETH/USDT pair on Coinbase saw its volume rise from 500,000 ETH to 675,000 ETH during the same period (Coinbase, March 12, 2025). The market capitalization of the DeFi sector increased by 10% to $100 billion within the first three hours post-announcement (DefiPulse, March 12, 2025, 17:35 EST). This regulatory change also influenced the sentiment around other cryptocurrencies, with tokens like Chainlink (LINK) and Compound (COMP) gaining 8% and 10%, respectively, by 17:35 EST (CoinMarketCap, March 12, 2025). The removal of the broker rule is expected to attract more institutional investors to the DeFi space, potentially leading to further price appreciation.

Technical indicators post-announcement show a bullish trend across major cryptocurrencies. Bitcoin's Relative Strength Index (RSI) moved from 65 to 72, indicating overbought conditions but also strong buying pressure (TradingView, March 12, 2025, 16:35 EST). Ethereum's Moving Average Convergence Divergence (MACD) crossed above the signal line, suggesting a bullish momentum (TradingView, March 12, 2025, 16:35 EST). The trading volume for DeFi tokens like UNI and AAVE remained elevated, with UNI's volume increasing to 20 million tokens and AAVE's volume reaching 1.5 million tokens by 17:35 EST (CoinGecko, March 12, 2025). On-chain metrics also reflect this bullish sentiment, with the number of active addresses on the Ethereum network increasing by 15% to 1.2 million within the first four hours post-announcement (Etherscan, March 12, 2025, 18:35 EST). The average transaction value on the Ethereum network rose by 20% to $1,200, indicating increased activity and interest in DeFi platforms (Dune Analytics, March 12, 2025, 18:35 EST). The overall market response to the regulatory change underscores the potential for further growth in the DeFi sector.