Clarity Act Passage Could Trigger Crypto Rally, Says JPMorgan

Placing major tokens under CFTC jurisdiction, the analysts said, would reduce compliance burdens and legal uncertainty for market participants.

Crypto News

As

has been trading around the mid-$60,000 range while

has hovered near $2,000, with volumes thinning across major exchanges, JPMorgan analysts have identified U.S. market structure legislation as the catalyst most likely to reverse that trend, pointing specifically to the proposed CLARITY Act.

Analysts led by Nikolaos Panigirtzoglou said in a report that approval of the market structure bill, likely by mid-year, could serve as a positive catalyst for crypto markets in the second half of 2026. They attributed the current lull to regulatory ambiguity that has left institutional investors cautious about deploying new capital, keeping sidelined funds from re-entering the market in force.

The CLARITY Act would split oversight of digital assets between the Commodity Futures Trading Commission and the SEC, classifying tokens as either digital commodities or securities. Placing major tokens under CFTC jurisdiction, the analysts said, would reduce compliance burdens and legal uncertainty for market participants.

A grandfather clause in the bill would allow certain tokens tied to spot exchange-traded funds listed before Jan. 1, 2026, including