Bitcoin hits seven-week high on White House CLARITY Act deal
The White House has agreed to sweeping ethics provisions in the CLARITY Act, lifting Bitcoin above $66,000 and breaking a Senate deadlock over the landmark crypto market structure bill.
Bitcoin climbed above $66,000 on Tuesday to reach a seven-week high after the White House agreed to ethics provisions in the Digital Asset Market Clarity (CLARITY) Act. The concession, reached during meetings with Republican Senators Cynthia Lummis and Bernie Moreno, aims to secure the Democratic votes necessary to pass the crypto market structure bill. Details of the agreement remain private, but the move directly addresses a primary legislative bottleneck.
Passage in the Senate requires a 60-vote threshold, forcing Republicans to court Democrats who have repeatedly balked at the legislation. Senators Elizabeth Warren, Chris Murphy, Jeff Merkley and Chris Van Hollen previously stated that any CLARITY bill would be "worthless" without strict ethics rules. Their central concern is the potential conflict of interest posed by Donald Trump’s memecoin and his family’s World Liberty Financial business.
A White House official said the administration was "committed to working with Congress to see the CLARITY Act advance and has agreed to the most comprehensive and wide-ranging ethics provision in history." The official added that the administration had "bent over backward to accommodate [Democrats’] concerns." The exact mechanics of how these provisions affect the president's crypto investments are not yet public.
The House of Representatives passed the CLARITY Act in July 2025 as part of a Republican crypto agenda, but the bill has faced repeated Senate delays. Lawmakers have clashed over provisions covering tokenization, stablecoin rewards, and protections for developers against enforcement actions. Coinbase vice chair Ryan VanGrack noted that Democrats have already successfully negotiated customer protection measures into the Senate text.
The prospect of a legislative breakthrough triggered an immediate market reaction. "The reason that prices are running upwards are entirely dedicated towards the potential approval of the Clarity Act," said Michaël van de Poppe, founder and chief investment officer of MN Fund and MN Capital. "Things are brighter and brighter, and as the charts technically look incredible from here, it looks likely that we’ll see the Clarity Act being approved shortly."
Industry executives and legislators expect the Senate to consider the bill before the August state work periods begin. However, as of Tuesday, no vote had been scheduled and the legislative text had not been released. Some lawmakers are still pushing for hearings to examine the president's crypto ties before bringing the bill to the floor.
