Crypto Stocks Rally on CLARITY Act Optimism and Treasury Liquidity Move

Crypto stocks surged on Wednesday as investors rotated out of AI stocks and into crypto-adjacent equities, fueled by optimism around the CLARITY Act's potential passage in September.

The U.S. Treasury announced it would double its long-term bond buyback operations starting September 9, knocking yields lower and sending Bitcoin (BTC) up 6%, Ethereum (ETH) up 10%, Solana (SOL) up 7%, and XRP (XRP) up 8% on the session.

Bitmine (BMNR) and Bullish (BLSH) added 13%, while Circle (CRCL) climbed nearly 12%. Strategy Inc. (MSTR) and Coinbase (COIN) also surged over 12%, with MSTR testing $105 resistance for the fourth time in two months.

Senate Banking Committee Chairman Senator Tim Scott said the Clarity Act has a 'really good shot' of moving forward in September, while White House Council of Advisors for Digital Assets executive director Patrick Witt noted that negotiations have narrowed to a binary choice between two options.