The CLARITY Act bill is in limbo once again after Democratic Senators said that they will not pass it if the ethics provision rule does not change to ensure that the state attorneys general, and not the DOJ, will enforce these rules. As this bill stalls, analysts are watching three crypto stocks that could gain if Congress passes the bill.
CLARITY Act Faces Fresh Hurdles Ahead of Congress August Recess
The White House recently made concessions about the ethics provision barring federal officials, including the president, from offering and issuing digital assets.
However, Democrats are opposing the text that says that the DoJ will enforce the ethics rule. Instead, they want the wording to change so that the state Attorneys general enforces it.
Senate Majority Leader John Thune now says that CLARITY Act might not pass before August because of this ethics hurdle.
Concerns are now emerging that if the bill does not pass before Congress breaks for recess in August, it might not pass in 2026 because of midterm elections.
As the odds of the CLARITY Act passing drop, three crypto stocks: Coinbase (NASDAQ: COIN), Circle (NASDAQ: CRCL), and Strategy (NASDAQ: MSTR) are gaining momentum.
COIN Crypto Stock Nears Critical Support Level
COIN stock price dropped by 1.78% on July 25 to close trading at $158. This drop occurred due to selling pressure caused by the dropping odds of CLARITY Act passing.
If this drop continues, Coinbase shares might move to the support of $152.
The RSI reading of 46 also supports a bearish COIN stock forecast. It suggests that there is more selling pressure than buying pressure and this could pull the stock down.
But the ADX line that is falling shows that the downward trend is weak. This suggests that the crypto stock might remain above the support of $152 if sellers are exhausted.
Still, Coinbase’s financial results that are coming out on July 30 might give bears or bulls the upper hand depending on whether or not they fail, meet, or surpass expectations.
CRCL Stock Gains Amid ARK Invest Buying Spree
CRCL stock price gained by 0.29% on July 24 to close trading at $62. Those gains occurred despite other crypto stocks like COIN and MSTR closing lower due to AI spending fears and a bearish outlook in the crypto market.
The AO bars that are green and shrinking in length suggest that bears are losing their grip, and this could push Circle share to the psychological resistance of $70.
The OBV line that is positive also suggests that there is more buying pressure than selling pressure, and this could push CRCL stock to $70.
This move to $70b could also occur as institutions continue to purchase Circle shares. One of these institutions is ARK Invest that purchased $14 million worth of Circle shares on July 22.
MSTR Crypto Stock Slips Amid CLARITY Act Buzz
MSTR stock is also another crypto stock to watch as debate around the CLARITY Act continues. This is because Strategy is one of the biggest crypto companies listed in the US.
If the odds around the CLARITY Act drop, MSTR could face an increase in selling pressure and reach the June 26 low of $81.
But rising odds of this crypto bill passing might push MSTR stock to psychological resistance of $100.
The CMF line that is making higher lows also suggests that the selling pressure is easing, and this could create room for a move to $100.
Still, Strategy might face more volatility in the week between July 27 and July 31 because its earnings for the second quarter of 2026 are coming out on July 30.
