The legislation seeks to place cryptocurrency under increased federal oversight, though some Democrats have argued it contains loopholes President Donald Trump and his family could take advantage of.

Bitcoin, crypto stocks and digital assets slipped as Wall Street braced for two major Washington decisions.

"Don't forget - Ripple and XRP stand on settled ground. The 2023 federal Court ruling established XRP is not a security. And in March the SEC and CFTC issued a joint interpretation naming XRP a digital commodity," Alderoty wrote on X.

Bitcoin's price has been rallying, but it's still down in 2026. Failure of the Clarity Act ahead of Democratic gains in the midterms could be new headwinds.

Senate blocks the CLARITY Act, causing Bitcoin to drop over 5%. CLARITY Act signed into law by 2026 at 5.3% YES.

Senators take a procedural vote on the crypto market structure bill later Tuesday. Bitcoin has given back 3% since touching $79,530 overnight, with XRP and zcash the only majors gaining ground.

Trump agreed to 80% of the ethics package Democrats demanded, and XRP rose 3.9% on the news. The Senate votes Tuesday at 2:15pm ET.