Bitcoin rose 0.3% and Ethereum gained 0.2% on Wednesday after the SEC announced proposed regulation for crypto assets, answering why is crypto up today with a policy catalyst. Bitcoin opened at $64,681.22 and Ethereum at $1,916.47. By 9:25 a.m. ET, Bitcoin had moved to $64,877.66 and Ethereum to $1,936.31.
SEC rules move prices higher
The proposed rules would give crypto companies a framework to raise capital, which is the part of the announcement that traders could price in first. That is the immediate draw for a market that has spent years trading around whether new issuance and compliance rules would come into focus.
The SEC also set out two registration requirement exemptions for crypto-related investment contracts. For projects trying to raise money, that changes the path from a single regulatory bucket to a more defined set of options.
Bitcoin and Ethereum benefit
Bitcoin and Ethereum both opened higher because the proposal could help mature networks that are farther along than early-stage tokens. The rules would let certain crypto assets exit securities classification after a project fulfills core managerial commitments, and the related reporting requirements would end at that point.
Bitcoin traded well below its Oct. 6, 2025 high of $126,198.07, while Ethereum remained below its Aug. 24, 2025 peak of $4,953.73. Those prior extremes show how far each token can move once a new catalyst changes the market’s view of regulation and growth.
Disclosures still remain
Issuers would still need to make certain disclosures under the proposed rules, and larger offerings would have to provide financial statements and meet ongoing reporting requirements. The proposal does not hand out a blank check; it pairs a clearer capital-raising route with continuing disclosure duties for bigger deals.
For traders, that means the rally rests on a framework that could lower friction for some projects while keeping more demanding compliance for larger offerings. For companies, the practical question is whether the final rules preserve that balance, because the proposal itself has not yet set when or whether it will take effect.
