Crypto stocks gain momentum as Clarity Act advances toward House approval

The U.S. Senate Banking Committee advanced the Clarity Act on Thursday in a 15-9 vote, marking a key step toward regulating the cryptocurrency industry. The bill, a top priority for crypto firms, aims to establish oversight and guardrails, though it faces opposition from banks, unions, and law enforcement over concerns it could harm consumers and financial stability. Bitcoin prices reacted positively, initially climbing to $82,000 before settling near $81,000—a 2.5% gain over 24 hours. Crypto exchange Coinbase led stock market gains with an 8% rise, while Bitcoin treasury firm Strategy and Ethereum-focused Bitmine also advanced. Analysts attributed the rally to regulatory clarity, suggesting institutional capital could flow into the market, potentially pushing Bitcoin toward $85,000. Supporters of the Clarity Act, including Coinbase, Circle, Ripple, and venture capital firm Andreessen Horowitz, argue it will encourage innovation and investment in the U.S. The White House has also backed the bill, though Democratic lawmakers and banking groups remain skeptical, citing risks to anti-money laundering protections and consumer safeguards. The bill still requires approval from the full Senate and the House, which passed a different version last fall. If enacted, it would mark a major regulatory milestone for the crypto industry, though debates over its provisions are expected to continue. In the broader market, Bitcoin rose 1% over the past week, while Ethereum fell 0.8%. Major altcoins like BNB, XRP, Solana, and Dogecoin saw gains of up to 7%, reflecting broader optimism about regulatory developments. The Clarity Act’s progress has reignited discussions about balancing innovation with financial stability in the digital asset sector.