Analyst: XRP Could Rally Ahead of CLARITY Act Markup as Market ’Front-Runs’ Regulation
Community commentator Chad Steingraber says XRP may be preparing for a major price rally ahead of formal regulatory clarity, leaning on the XRP community narrative that the token often "moves before law." Steingraber pointed to the upcoming CLARITY Act (H.R.3633) markup in the Senate Banking Committee scheduled for January 2026 as the current catalyst. The CLARITY Act aims to set clearer US rules for digital assets; while the markup is a late-stage committee review, full Senate passage could still take months. Supporters cite historical precedents—XRP’s rallies during key SEC-related developments in 2025, including a push above $3 and a peak near $3.65 prior to the Ripple case resolution—as evidence that the market tends to price in positive legal outcomes before official decisions. Steingraber’s view implies traders may already be positioning long exposure as lawmakers advance the bill. This article is informational and not financial advice.
Bullish
The article centers on market expectations that XRP will ’front-run’ regulatory clarity, citing historical rallies tied to legal and regulatory milestones (notably XRP’s 2025 gains ahead of the Ripple/SEC resolution). The immediate catalyst is the CLARITY Act markup in January 2026 — a late-stage legislative step that increases the probability of eventual clarity. For traders, such news commonly leads to bullish positioning: increased buy-side interest, higher open interest in futures, and elevated spot demand as participants price in a reduced regulatory risk premium. Short term, expect higher volatility and potential upward price moves as the markup approaches and on related news flow. If markup progresses positively, momentum could extend, attracting momentum traders and retail FOMO. Long term, actual passage and the law’s details will determine sustained impact; full clarity that favors token classification over security classification would be structurally bullish for XRP and the sector, while watered-down or unfavorable provisions could reverse gains. Historical parallels: XRP’s pre-event rallies in 2025 show similar front-running behavior — traders priced in outcomes before official resolutions. Risk factors include legislative delays, negative amendments, or broader risk-off events that can negate bullish sentiment.