Bitcoin Surges as Crypto Market Seeks Clarity Amid Regulatory Uncertainty

The crypto market showed resilience this week, ending higher despite US equities slipping. Bitcoin led the pack, gaining 4.16% as total cryptocurrency capitalization rose 2.30% to $2.22 trillion.

The passage of the CLARITY Act, a proposed US legislation aimed at regulating cryptocurrencies, remains uncertain. Despite resistance over ethics and enforcement powers, prediction-market estimates for passage have improved in recent weeks. Senator Cynthia Lummis released updated text on July 22, merging Senate Banking and Agriculture committee work.

In other news, several cross-chain systems were targeted by hackers this week. AFX Trade lost an estimated $24.15 million after attackers obtained validator signatures to approve a bridge withdrawal, while Allbridge halted its core bridge following a flash-loan attack on Solana liquidity pools.