Volatile Cryptocurrency Market This Summer Due to Delayed US Legislation

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Cryptocurrency Market Volatility Warning

The $2.8 trillion cryptocurrency market could face volatility this summer if lawmakers in Washington D.C. do not quickly pass important bills, according to a warning from Bitwise Chief Investment Officer Matt Hougan. Although Bitcoin has reached new highs and there are promising policies from the White House, just one bill being passed would be enough to ensure the necessary political support for cryptocurrencies.

Risks from Trump's Strategy

Hougan praised the cryptocurrency-friendly moves from the Trump administration, including the strategic Bitcoin reserve plan and the reversal of restrictive SEC guidelines such as SAB 121. However, he warned that these executive actions require sustainable support from Congress.

Who Can Hinder Cryptocurrency?

Hougan pointed out that it is the politicians themselves who can skew the direction of cryptocurrencies. He emphasized the need for bipartisan laws to strengthen the progress. The GENIUS bill, focusing on stablecoins, hit a wall in May 2025 after losing the support of 9 Democratic members due to concerns over AML and KYC.

Why Is It Important for Bitcoin and Altcoin?

Hougan remains optimistic about the long-term prospects of cryptocurrencies, predicting that Bitcoin, Ethereum, and Solana will reach new highs. However, the lack of a legal framework for stablecoins may cause institutional investors to hesitate, increasing market volatility.

Conclusion

The fate of the cryptocurrency market depends on decisions from Washington. If Congress passes even one bill, Hougan believes that "the bull market will be unstoppable." But stagnation could lead to a bleak summer, testing Bitcoin's resilience.

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GateUser-65e9932avip
· 05-08 00:02
Quick, enter a position! 🚗
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