Bitwise named the CLARITY Act as one of the measures that will support the crypto markets in the third quarter, saying that this passage could be the bottom of the recent bear market.
The asset manager posted four aids in its report for Q3 2026. It added that this quarter is the make or break of the market structure bill.
Why CLARITY Act Is Top of Bitwise’s Q3 List
The CLARITY Act has been one of the most watched bills in the crypto sector. However, it has faced two major obstacles problems that are hindering its progress.
First, the ethical issues associated with the president’s interest in crypto have become very important. Section 604, which protects non-custodial populations fundraisers legislation, has also sparked a debate between lawmakers and conservatives.
Prediction markets put the problems of The bill is passing in 2026 at about 40%. This figure is down significantly from 75% in mid-May.
However, Bitwise remains cautiously optimistic about the bill’s prospects. It also said the winning vote could be at the bottom of a bear market. According to the company, failure leads to initial instability.
“If it passes, we believe it will signal the bottom of this bear market. If it fails, expect initial volatility, and then clear uncertainty as companies continue to build under the pro-crypto SEC and CFTC,” words read it.
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Some Q3 Crypto Market Catalysts on Bitwise’s Radar
In addition to the CLARITY Act, the stockbroker outlined three other upcoming items. Stablecoins are second on the list. Directors must complete the GENIUS Act rules this quarterahead of the law that will take effect in January 2027.
Bitwise expects major companies to announce stablecoin projects before they go live. He pointed to OpenUSD, sponsored by Stripe, BlackRock, Visa, Coinbase, and about 140 other companies.
Stablecoin supply has been close to $300 billion since last fall, a quiet display of resilience through the crypto selloff. We see a continuation of stablecoin growth as a catalyst for chains such as Ethereum and Solana in Q3, as interest builds ahead of the January implementation date,” he said.
The company also announced a new Federal Reserve under Chair Kevin Warshwhose path remains unknown to the markets. He has kept the prices steady so far. Bitwise expects a clear reading on its Fed by the end of the quarter. Price trends are still hard to call. However, the company noted that the Fed makes assumptions about all risks, so any assumption can move markets.
Finally, Bitwise reviewed the stability analysis in Decentralized Finance (DeFi). Over the past month, Bitcoin (BTC) has fallen by around 22%, while the DeFi company’s index has fallen by 4%.
“DeFi is often more volatile than Bitcoin, so carrying this well is unusual, and almost no one is talking about it. We think that DeFi is quietly repeating itself,” the report read. “We expect DeFi performance to continue in Q3, the kind of change the market tends to see of late.”
Bitwise’s sentiment follows a punishing Q2, the crypto’s third straight quarter of losses and its worst run since 2022. How the sector progresses will show whether the streak continues or breaks.
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A note Why Bitwise Says CLARITY Act Passage Puts Bottom on Bear Market appeared for the first time BeInCrypto.
