Bitcoin has struggled to reclaim $80,000 after the Senate blocked the CLARITY Act, although Bitwise Chief Investment Officer Matt Hougan withdrew his earlier bearish assessment after the cryptocurrency continued climbing as the bill’s prospects deteriorated. The measure received 49 votes, 11 short of the 60 needed to advance. Polymarket odds of passage this year fell from 39% to 14% between July 1 and Sept. 4, while Bitcoin rose from about $57,950 to above $80,000. Hougan said financial institutions continued expanding crypto operations without waiting for Congress, citing Robinhood’s blockchain launch, Morgan Stanley’s Solana exchange-traded fund and DTCC’s first tokenized stock settlement. Kevin O’Leary said the defeat was expected but predicted lawmakers would revisit market-structure legislation after the 2026 midterm elections. A separate Digital Asset Tax Certainty Act covering staking, mining, minor transactions and broker reporting advanced through the House Ways and Means Committee. SEC Chairman Paul Atkins and CFTC Chairman Mike Selig have indicated their agencies can pursue parts of the regulatory agenda independently, though agency rules remain vulnerable to reversal and Congress would still need to give the CFTC comprehensive spot-market authority. Bitcoin fell about 4% after the vote, while interest-rate concerns and oil-price fluctuations added to volatility.