Coinbase, Bullish and Circle outperformed the rest of the crypto market on Wednesday, with bitcoin also gaining. Analysts linked the moves partly to rising optimism that the Digital Asset Market Clarity Act can advance ahead of a key Senate vote next month.
Coinbase (COIN) and Bullish (BLSH) climbed about 8% Wednesday, outperforming other crypto stocks. Circle (CRCL) gained nearly 10% over the same period. Bullish is CoinDesk's parent company.
Bitcoin also rose over the past 24 hours, trading at $68,651.21. The token gained about 2% in that span.
Analysts cite rotation and Clarity Act optimism
Clear Street analyst Owen Lau pointed to two possible drivers behind the moves: investors rotating out of AI stocks, and renewed optimism around the Clarity Act. He attributed that optimism to comments from Senators Tim Scott and Cynthia Lummis, as well as from White House crypto adviser Patrick Witt. The rotation out of AI stocks refers to investors taking profits after a strong run and shifting some of that money into other parts of the market.
Senate faces a September test
Speaking at the SALT conference in Jackson Hole, Wyoming, Senate Banking Committee Chairman Tim Scott said the bill has a good shot of moving forward in September. According to CoinDesk: "There's no question about the fact that this will become law." He added that the only question is how and when it reaches the finish line.
The Senate is scheduled to hold a procedural vote on the bill on Sept. 15, a test of whether supporters have enough votes to advance the legislation. Having a firm date could pressure lawmakers to settle remaining disagreements over crypto rewards, decentralized finance and ethics provisions.
What remains unresolved
Patrick Witt, executive director of the White House's Council of Advisors for Digital Assets, also sounded upbeat about the negotiations, saying talks have narrowed to a point where a broader deal can be reached. He said lawmakers will return to negotiations in the coming weeks to try to secure enough support for the Sept. 15 vote.
The White House has not publicly responded to an ethics-provision proposal sent by Senators Ruben Gallego and Thom Tillis. Democrats have said they will withhold support without a strong ethics provision.
The bill matters for companies such as Coinbase and Bullish because it would establish clearer rules for how digital assets and trading platforms are regulated in the U.S., in a way that would be harder for a future administration to undo.
Source: CoinDesk
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