Stablecoin Bill Spurs Rally: BTC Near $120K, ETH Above $3.5K
US Congress has passed the stablecoin bill, building on prior infrastructure amendments that clarified digital-asset tax and regulatory standards. This stablecoin bill delivers regulatory clarity for issuers and exchanges, reducing uncertainty for DeFi projects.
As a result, Bitcoin surged toward $120,000, briefly testing $121,000—up from a prior record of $70,000 reached amid legislative momentum led by Senators Lummis and Gillibrand. Ethereum climbed above $3,500 for the first time since early 2023.
Industry figures such as BitMEX founder Arthur Hayes and Cathie Wood echoed bullish Bitcoin and Ethereum price forecasts, reinforcing market confidence.
Broader market tailwinds—including a rebound in US June retail sales, a drop in jobless claims, and TSMC’s 61% profit growth in Q2—pushed the S&P 500 and Nasdaq to record highs. Traders attribute this crypto rally to renewed interest in spot Bitcoin ETFs and improved regulatory clarity.
While the stablecoin bill and ETF momentum may attract institutional inflows, crypto markets remain volatile. Traders should manage risk with stop-loss strategies and monitor upcoming regulatory votes.
Bullish
The passage of the stablecoin bill and clarifying infrastructure amendments have significantly reduced regulatory uncertainty around digital assets. This development directly boosted Bitcoin toward $120,000 and pushed Ethereum above $3,500, as traders capitalize on renewed ETF interest and DeFi growth prospects. Industry leaders’ bullish forecasts further support upward momentum. In the short term, this news can trigger heightened trading activity and potential pullbacks typical of volatile markets. Over the long term, clearer regulation may attract institutional investors, underpinning sustained growth. Overall, the impact is bullish for both Bitcoin and Ethereum.