Bitwise Flags CLARITY Act as Key Q3 Catalyst, Says Passage Could Mark Bear Bottom

Bitwise named the CLARITY Act as a key catalyst for crypto markets in the third quarter, saying its passage could likely mark the bottom of the current bear market. According to BeInCrypto, the asset manager’s Q3 2026 report listed four catalysts and said the quarter is “make-or-break” for the market structure bill. Bitwise said ethics provisions tied to the president’s family’s crypto interests and Section 604 on non-custodial developers are stalling progress. Prediction markets put 2026 passage odds near 40%, down from 75% in mid-May. Other catalysts cited include GENIUS Act stablecoin rules, the Fed under Chair Kevin Warsh, and a “quiet re-rating” in DeFi.