Crypto Prices
Crypto Market Growth Chief Investment Officer Matt Hougan of Bitwise has expressed grave worries about Congress’s capacity to provide timely and transparent crypto regulation—a step he believes is absolutely vital for maintaining the industry’s momentum. Hougan cautions without legislative assistance that the crypto market may have a stormy summer even if general views remain optimistic.
Hougan stayed sure in Monday’s client note on the long-term prospects of cryptocurrencies. He projected possible all-time highs for various digital assets and advised that, given current market and legislative environment, Bitcoin might reach $200, 000. Still, he stressed that unless Congress acts with consistent regulatory clarity, such development is fragile.
Orders Not Enough Hougan Calls Legislative Action
Hougan underlined that future administrations might overturn recent Trump administration wins such a proposed Bitcoin Strategic Reserve, lessened SEC enforcement, and deregulating actions.
“We need Congress to pass laws enshrining the advancement of crypto in law,” Hougan stated.
Particularly following the bipartisan GENIUS Act passed by the Senate Banking Committee in March, the Bitwise CIO had hoped that stablecoin legislation would go quickly this year. The measure requires 100% reserve backing for stablecoins, outside audits, strong insolvency protections.
But hope dropped when nine Senate Democrats—including Senate Majority Leader Chuck Schumer—unexpectedly turned away support. Their stated worries, which center on anti-money laundering and national security, came despite the revised measure featuring more robust clauses in both areas than earlier versions.
Journalist David Dayen on X noted: “Crypto-friendly Democrats abandoned a bill they previously supported after Trump’s crypto-related controversies became too big to ignore.”
Trump Ties Under Scrutiny Political Winds Change
Hougan claimed that changing political dynamics—particularly diminishing approval of Trump and more investigation of his crypto-linked businesses—are erasing bipartisan support for stablecoin legislation. Warning that such actions would compromise both projects, he also attacked crypto lobbyists for attempting to combine the GENIUS Act with more general market structural changes.
Tensions in the House are thus mounting concurrently. Apparently, Democrats intend to boycott a joint hearing on crypto market structure, therefore postponing advancement toward regulatory clarity. Although the STABLE Act is still under development, its future is unknown given growing partisansism.
DeFi Platforms Complicate Regulating Discussion
Adding still another layer to the discussion, Trump friends’ distributed finance platform World Liberty Financial has debuted a stablecoin of its own. The action has sharpened discussion on the necessity of federal supervision of DeFi platforms and stablecoin issuers.
Hougan stays carefully hopeful in spite of these obstacles
“Stablecoins are too obviously beneficial—for America, the dollar, retailers, and entrepreneurs—for petty political jockeying to stop progress,” he said. He cautioned, though, that the crypto bull market may stall without quick Washington response. “I believe the bull market will be unstoppable if Washington can organize itself. Should not be the case, we will have a somewhat challenging summer.”
Adoption of Crypto at State Levels Falters
Florida has also pulled two planned laws meant to establish a strategic Bitcoin reserve, House Bill 487 and Senate Bill 550, therefore undermining U.S. crypto adoption. Both were formally taken off of consideration on May 3; the parliamentary session adjourned May 2 without action on either measure.
Florida is now among the several states—including Wyoming, South Dakota, North Dakota, Pennsylvania, Montana, and Oklahoma—that have failed to enact legislation endorsing Bitcoin-based investment schemes. The avalanche of abandoned measures points to a larger chilling of state-level crypto projects under federal regulatory uncertainty.
