Bitcoin is stuck in a rut but JPMorgan says new legislation could be the ultimate spark

Crypto markets, with Bitcoin range-bound around $60,000, are lacking a strong catalyst, and regulatory ambiguity is dampening institutional participation. JPMorgan analysts believe the potential approval of the U.S. market structure legislation, known as the Clarity Act, by mid-year could serve as a significant positive catalyst for the second half of the year. This comprehensive framework would define oversight between the CFTC and SEC, classify tokens (potentially treating major ones like XRP and Solana as commodities under CFTC jurisdiction), and offer disclosure-based fundraising for new projects. JPMorgan argues that this regulatory clarity would remove a major overhang, encouraging cautious institutional capital to increase allocations, thereby deepening liquidity and unlocking new product development. However, the bill is currently stalled in the Senate after Coinbase withdrew support, citing concerns that the text could hamper innovation, exposing divisions within the industry.

(Source：CoinDesk)