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Lee Sees Huge Gains for Bitcoin and Ethereum in Q4 with Clarity Act Passage

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Tom Lee, co-founder of Fundstrat, believes that Bitcoin and Ethereum are poised for significant gains in Q4 if the CLARITY Act passes this year. According to Lee, the act is one of four catalysts expected to drive crypto prices higher by year-end.

In a recent CNBC interview, Lee explained that the crypto market has been performing well relative to other asset classes, making it an attractive destination for institutional investors in September and Q4. He also pointed out that the traditional four-year cycle in the crypto market is set to end next month, which could bring back investors who had stepped away from the space.

Lee identified three additional catalysts driving his optimism: strengthening fundamentals, including momentum in tokenization and the launch of new products such as those offered by Robinhood; tailwinds from generative AI adoption benefiting the sector; and the CLARITY Act itself. If passed, Lee believes that Bitcoin and Ethereum will have a 'huge fourth quarter.'

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