Expectations and uncertainty are rising over the U.S. crypto market structure bill known as the Clarity Act. Former House Financial Services Committee chairman Patrick McHenry called it the most important technology legislation since the 1996 Telecommunications Act, but prediction markets put the chance of enactment by Dec. 31, 2026 at 32 percent. A key variable is an ethics provision limiting crypto-related profits by senior officials, amid Democratic demands to strengthen it and a tight Senate timetable.

An on-chain analysis says a two-year selling cycle by long-term bitcoin holders has effectively ended in 2026. Galaxy Digital research head Alex Thorn said the largest long-term holders have finished distributing, and the rate of older wallets reactivating has fallen by more than half from last year. He said the market absorbed much of the profit-taking during the past two-year rally, easing supply pressure. Thorn also rejected claims that whales are selling due to quantum computing risks.