Bitcoin Soars Past $120,000 as US Congress Tackles Historic ‘Crypto Week’ Legislation

Bitcoin smashed through the $120,000 barrier for the first time ever on July 14, reaching a peak of $122,571 as traders bet big on what could be the most important week for crypto regulation in US history. The record-breaking surge comes just as Congress kicks off what lawmakers have dubbed “Crypto Week”, a concentrated push to pass legislation that could reshape the entire digital asset industry.

The timing is not coincidental. With President Donald Trump now promoting crypto as part of his vision to make the U.S. the “crypto capital of the world”, investors are making huge bets that Washington will step up and finally deliver the regulatory clarity for the industry.

The Legislative Action Gains Momentum

The House of Representatives is set to vote on three major pieces of crypto legislation this week, each addressing different aspects of the digital asset ecosystem. The first is the Digital Asset Market Clarification Act (CLARITY Act), designed to create a comprehensive regulatory framework for cryptocurrencies and delineate differences in the regulatory oversight responsibilities of various government agency functions.

The second major bill, named the GENIUS Act, focuses on stablecoins, digital currencies pegged to the U.S. dollar. This bill will create a federal framework for these key crypto building blocks that many consider fundamental to achieving mainstream acceptance of digital assets for everyday commerce.

Investors tracking these developments often turn to resources like Cryptonews KR for insights on emerging crypto presales and market trends, as the regulatory landscape continues to shape new investment possibilities in the crypto space.

The third proposal, the Anti-CBDC Surveillance State Act, takes a different approach by blocking the creation of a retail central bank digital currency. This bill reflects concerns about government overreach and privacy rights in the digital money space.

Trump’s Crypto Transformation

Maybe the biggest news of the week is President Trump’s full flip-flop on crypto. During his inter-presidential term, Trump was vocally opposed to digital assets, calling Bitcoin a “scam against the dollar”. Now, Trump is calling himself the “crypto president” and is trying to convince Congress to pass laws that are pro-crypto.

This tectonic shift has probably been one of the major components in fueling Bitcoin’s recent run. According to market analyst Tony Sycamore, Trump’s pro-crypto stance is a big tailwind behind Bitcoin’s rise, alongside continued strong institutional demand and positive sentiment across the global markets.

Trump’s pivot became official three days into the second term, when he signed an executive order entitled “Strengthening American Leadership in Digital Financial Technology.” It is even seen as showing how serious Trump now is about crypto when he hosted a “Digital Assets Summit” at the White House.

Market Momentum Beyond Bitcoin

Fortunately for Bitcoin’s competitors, the positive sentiment is by no means limited to Bitcoin. Ethereum, the world’s second-largest cryptocurrency, battered past the $3,050 mark for the first time in over five months, and XRP and Solana each inched about 3% forward, which has led to the entire crypto market hitting a market value of around $3.9 trillion.

This is not only occurring in the United States, either. On Monday, spot Bitcoin ETFs in Hong Kong reached record levels, and Ethereum ETFs in the city surged by over 2%. The global participation points to a rally that reflects more than just regulatory hopes in the US.

Bipartisan Challenges Ahead

Currently, the legislative efforts have been initiated by House Republicans. However, they are contending with obstacles to garner bipartisan support to move the bills into law. The market structure bill will require support from House Democrats for it to be perceived in the Senate as having the political backing necessary to proceed further. 

Last year, there were 71 Democrats who supported this type of initiative, but this round of support will be difficult to obtain through repeated bipartisan support. A handful of senior-level Democrats, who have previously lent support to crypto legislation, are now expressing a level of unease regarding the relationships of the Trump family businesses to crypto. The House Financial Services Committee ranking member, Maxine Waters, has coined the term “Anti-Crypto Corruption Week” in protest of the GOP’s efforts this week.

Republicans are also facing dissent from their own members. Representative Warren Davidson from Ohio made a social media post indicating he would oppose the GENIUS Act on the basis it should be amended but not left as-is.

Global Implications

Washington’s crypto week is being watched closely around the world. In London, during the recent Innovate Finance Global Summit, UK officials kept bringing up Trump’s pro-crypto policies in the context of their own regulation of cryptocurrencies. Tom Duff Gordon from Coinbase noted that there is “nothing chaotic” about the way the US administration is handling cryptocurrencies and digital assets despite appearances.

The attention from the international community demonstrates the reality that US policymakers’ decisions regarding crypto have implications that could affect the global stage. Lord Ed Vaizey said it best during the London summit when he said, “When the US administration decides to change its mind and take the lead in an area like this, it will make the weather.”

Industry Perspectives

On Capitol Hill, congressional committee leaders have come out framing the week as historic before the regulatory bills were even voted on. Financial Services Chairman French Hill said this legislation would “establish a clear regulatory framework for digital assets that safeguards consumers and investors.” Agriculture Committee Chairman GT Thompson stated the market structure legislation was “long overdue” after years of hearing from folks about regulatory certainty.