XRP Price Crashes Amid Senate Rejection of CLARITY Act
The US Senate's failure to advance the CLARITY Act has sent shockwaves through the cryptocurrency market, with XRP experiencing the largest decline among top 10 cryptocurrencies.
XRP's price fell 7.71% in a single day, dropping below $1.30 after trading at around $1.40 beforehand. This steep drop is more significant than that of Bitcoin, Ether, and Solana, indicating that XRP faced particularly intense selling pressure during the market pullback.
The CLARITY Act aimed to create clearer federal rules for digital assets, defining how US regulators oversee parts of the crypto market. Although XRP already has a relatively clear legal position in the US, thanks to a federal court ruling in the SEC case against Ripple, the bill's potential impact on institutional participation and broader crypto regulation weighed heavily on investors.
The Senate vote fell short by one vote, with 49 lawmakers supporting the bill and 50 opposing it. This setback has removed a near-term regulatory catalyst for XRP, contributing to selling pressure across major digital assets.