Bitcoin Falls as Clarity Act Fails to Advance. Why Cathie Wood's Dumping Crypto Stocks. — Barrons.com
By Callum Keown and Anita HamiltonThe Clarity Act, a key bill for crypto regulation, failed to advance in the Senate Tuesday. The vote was 49 to 50 in a procedural vote known as invoking cloture that could have moved it to a final vote.Bitcoin and crypto-exposed stocks fell sharply, with crypto exchange Coinbase falling 10% at $172.25. The drop made it the biggest loser in the S&P 500 for the day. Crypto plays had previously enjoyed a rally in recent months as the legislation's chances of being passed appeared to come back from the dead.It was a tight call. GOP senators had been making an 11th-hour push to get support from Democrats. But the odds of the bill passing this year slipped to 19% Tuesday from 31% Monday, according to prediction market Polymarket. Polymarket has a data sharing partnership with Dow Jones, the publisher of Barron's.Bitcoin fell to $76,092, down nearly 4%. The world's largest cryptocurrency is up more than 25% since the start of July but remains down 14% in 2026.Ethereum, the second largest crypto, dropped more than 6% to $2,411, while popular altcoin XRP slumped nearly 12% to $1.29.Strategy, the largest corporate holder of Bitcoin, fell 5.4% after a 4.6% rise Monday.Cathie Wood's ARK Invest took the opportunity to sell crypto-related stocks Monday, according to a trading notification. ARK's funds sold shares in CoinDesk owner Bullish, crypto exchange Coinbase, stablecoin issuer Circle internet Group, and Ethereum treasury company Bitmine Immersion Technologies.Write to Callum Keown at [email protected] and Anita Hamilton at [email protected] content was created by Barron's, which is operated by Dow Jones & Co. Barron's is published independently from Dow Jones Newswires and The Wall Street Journal.