Bitcoin Rises Above $70,000 as Trump Pushes Clarity Act
Bitcoin rises 3.4% above $70,000 after Trump urges Congress to pass the Clarity Act, while Coinbase, Canaan, Circle and other crypto stocks climb.
Raja Awais Ali
8/20/20263 min read
Bitcoin Rises Above $70,000 as Trump Pushes Clarity Act
Bitcoin and crypto stocks climbed sharply on Thursday, August 20, 2026, after U.S. President Donald Trump urged Congress to move forward with the Clarity Act, a proposed law designed to create clearer rules for the digital asset market. The move renewed investor confidence in cryptocurrencies and pushed Bitcoin above the $70,000 level for the first time in weeks, while several major crypto-related companies also recorded strong gains.
Trump made the call after meeting cryptocurrency industry executives at the White House on August 19. He urged lawmakers to pass what he described as a fair version of the Clarity Act and again presented the United States as a country that should lead the global cryptocurrency industry. The bill has strong support from the crypto sector but remains stalled in the U.S. Senate because lawmakers have not reached agreement on several important issues.
The Clarity Act is designed to provide clearer rules for digital assets in the United States. One of its main goals is to determine whether different cryptocurrencies should be treated as securities or commodities. The legislation would also help clarify the regulatory roles of the Securities and Exchange Commission, known as the SEC, and the Commodity Futures Trading Commission, or CFTC. Crypto companies and industry analysts argue that clearer federal rules would reduce uncertainty and make it easier for businesses and investors to understand which regulator is responsible for different parts of the digital asset market.
The legislation still faces political opposition. Many Democrats and some Republicans want stronger rules preventing political officials, including Trump, from benefiting from their own cryptocurrency businesses. The issue has become especially important because Trump disclosed more than $1.4 billion in earnings from his family's crypto ventures in 2025. Lawmakers opposed to the current version of the bill argue that stronger restrictions are needed to address possible conflicts of interest before the legislation can move forward.
The Senate has already delayed action on the bill until September. Senate Majority Leader John Thune filed a cloture motion in August, setting up a key procedural vote for September 15, 2026. The measure needs 60 votes to overcome the Senate's procedural hurdle, meaning Republicans would need support from Democrats to advance it. The delay has added another layer of uncertainty for the cryptocurrency industry, even though supporters continue to push for an agreement before the Senate considers the legislation.
Financial markets reacted quickly to Trump's renewed support for the bill. Bitcoin gained 3.4% and moved above $70,000, reaching highs of around $71,700. Ether, the second-largest cryptocurrency by market value, also rose 3.3% to reach its highest level in more than three months. The gains showed how strongly investors are responding to the possibility of clearer cryptocurrency rules in the world's largest financial market.
The rally was not limited to cryptocurrencies themselves. Coinbase Global shares climbed 8.4%, while Strategy, a major corporate Bitcoin holder, gained 10%. Bitcoin mining companies also moved higher, with Riot Platforms, MARA Holdings, Hut 8 and Bit Digital rising between 3% and 6%. Canaan, a manufacturer of Bitcoin mining machines, posted one of the strongest moves, surging 20%. Stablecoin company Circle gained 8%, while trading platform Robinhood Markets advanced 5%.
The latest market reaction follows a similar pattern seen after the U.S. established a regulatory framework for stablecoins through the GENIUS Act in July 2025. Investors have increasingly viewed clearer U.S. cryptocurrency rules as a potential factor that could support digital asset companies, exchanges, miners and other businesses operating in the sector. However, the Clarity Act has a much broader focus because it is intended to address the wider structure of the digital asset market rather than only stablecoins.
Despite Thursday's rally, Bitcoin's overall performance in 2026 remains negative. The world's largest cryptocurrency is still down about 18% for the year, showing that the latest increase has not completely reversed the broader decline. The current move is therefore more closely linked to renewed optimism over U.S. crypto regulation than evidence of a guaranteed long-term recovery.
The next major test for the cryptocurrency market will be the U.S. Senate's September 15 Clarity Act proceedings. If lawmakers can resolve disagreements over political conflicts of interest, regulatory responsibilities and other provisions, the legislation could move closer to creating a clearer framework for digital assets in the United States. If those disagreements remain unresolved, the bill could face further delays.
For Bitcoin and crypto investors, the Clarity Act has therefore become an important market issue because its outcome could influence how digital assets are regulated, how cryptocurrency companies operate and which U.S. agencies oversee different parts of the industry. Trump's latest push has already produced a strong short-term market reaction, but the longer-term impact will depend on whether Congress can turn the proposed legislation into law.
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