JPMorgan believes the CLARITY Act crypto bill, currently moving through Washington, could trigger a major rally in crypto assets in 2026. The bank shared this forecast in a recent research note. It argues that clear federal rules could allow institutions to finally scale up their crypto exposure. This could be great for the market as prices are stagnant, sentiment is weak, and investors are eagerly waiting for direction.
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How the CLARITY Act Crypto Bill Shapes JPMorgan’s 2026 Forecast

JPMorgan’s crypto forecast focuses on regulation, not price charts. The bank believes the crypto regulation bill could reshape how large investors approach cryptocurrencies. The CLARITY Act crypto proposal has already passed the House. It now faces negotiations in the Senate. The research note said,
“If passed it will reshape market structure by providing regulatory clarity, ending ‘regulation by enforcement,’ promoting tokenization, and facilitating greater institutional participation.”
The bank pointed out how the absence of clear rules forced crypto firms to operate under enforcement-based oversight. The Securities and Exchange Commission (SEC) has pursued several actions against crypto companies. This reflects its existing regulatory authority, but the overall legislation of the market remains unresolved.
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A formal crypto regulation bill would shift this dynamic. Instead of reacting to lawsuits, firms and investors would operate within established guidelines. That shift could accelerate institutional crypto adoption.
Bitcoin Market Outlook
Amidst all this, Bitcoin quietly surged to its all-time high of $126,198.07 in October 2025. The asset, however, entered a prolonged correction and is currently trading 46% below this peak. At press time, the king coin was trading at $67,940.47 following a dainty dip of 0.35% in the past 24 hours.

Speaking about the current market condition, Matt Hougan, chief investment officer at Bitwise Asset Management, said,
“Crypto winters don’t end in excitement; they end in apathy. The one-day big up moves are thrilling, but no one expects Bitcoin to run straight back to $100,000. Bitcoin is in the process of bottoming. The process will take a while and will be messy. There could be lower lows.”
Regulatory clarity is central to JPMorgan’s Bitcoin market outlook. The bank’s thesis rests on a simple institutional reality which is that capital flows more freely into markets governed by clear rules. The CLARITY Act is expected to bring this to the crypto market.
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