Bitcoin breaks through $120,000 to set a new high, and this week the United States' "Crypto Week" will advance three key bills

"Crypto Week" boosts market sentiment, Bitcoin hits a new all-time high on Monday.

This week, the U.S. Congress will welcome "Crypto Week," planning to review three key cryptocurrency legislations, including the CLARITY Act, the Anti-CBDC Surveillance national legislation, and the GENIUS Act.

Driven by this news, Bitcoin surged during trading on Monday, reaching $123,000, with an intraday increase of over 4%, setting a new all-time high.

This legislative progress injects strong momentum into the digital asset market, with analysts believing that the advancement of the three bills will lay the foundation for the U.S. to establish global leadership in cryptocurrency.

French Hill, Chairman of the House Financial Services Committee, stated, these "milestone legislations" will establish a clear regulatory framework for digital assets.

George Mandres, a senior trader at XBTO Trading, commented that this round of increase shows that the market's perception of Bitcoin is maturing, no longer viewing it merely as a speculative asset, but as a macro hedging tool and a means of storing structurally scarce value.

GENIUS Act establishes regulatory framework for stablecoins

The GENIUS Act (U.S. Stablecoin National Innovation and Establishment Act), which has been passed by the Senate, primarily provides a regulatory framework for stablecoins pegged to the U.S. dollar, including full reserve support, monthly audits, and anti-money laundering compliance.

On June 17, the bill passed the Senate with a vote of 68-30 and officially entered the House agenda.

Nathan McCauley, CEO of federally chartered crypto bank Anchorage Digital, stated that the Senate's recognition of the strength of dollar stablecoins has been "brewing for years" and will drive greater changes in the industry.

Analysts point out that the House may modify the GENIUS Act to bring it closer to the House version of the STABLE Act. Both bills require 1:1 reserve support, but the STABLE Act prioritizes federal regulation and requires FDIC insurance, while the GENIUS Act allows for joint state and federal regulation.

According to media reports, Trump is pushing for the adoption of the Senate version to sign it into law before August.

CLARITY Act delineates regulatory authority

The CLARITY Act, as a cryptocurrency market structure bill, aims to establish the market structure for cryptocurrencies, allocating regulatory authority to the Commodity Futures Trading Commission (CFTC) and the Securities and Exchange Commission (SEC), with the CFTC taking the primary role.

The bill defines "digital commodities" as assets related to the intrinsic value of blockchain, excluding securities, derivatives, and stablecoins, and requires cryptocurrency trading platforms to register and comply with trading monitoring, record-keeping, and antitrust rules.

It is reported that the bill requires digital commodity exchanges and brokers to register with the CFTC and grants the agency exclusive regulatory authority over digital commodity trading. Registered entities must comply with regulations on trading monitoring, record-keeping, antitrust, and conflicts of interest The bill also prohibits the mixing of exchange assets with customer assets unless customers waive this protection.

In June, the CLARITY Act passed the House Financial Services Committee with a vote of 32-19 and has not yet been submitted to the Senate. Senator Elizabeth Warren warned that the bill could leave loopholes for companies like Meta or Tesla to evade SEC regulation through asset tokenization.

Anti-Central Bank Digital Currency Bill Protects Financial Privacy

The anti-central bank digital currency regulatory national bill aims to protect financial privacy.

The bill prohibits the Federal Reserve and the Board from developing, creating, or using CBDCs to implement monetary policy, nor may they directly or indirectly provide products or services to individuals or maintain accounts. This legislation responds to concerns that government digital currencies may infringe on financial privacy.

Republican leaders, including House Speaker Mike Johnson and Majority Leader Steve Scalise, stated that these bills would advance Trump's "pro-crypto" agenda, providing clear regulation to promote growth and consumer protection.

$125,000 May Be the Next Key Threshold

Market observers are cautiously optimistic about Bitcoin's continued upward trend.

Rachael Lucas, a crypto analyst at BTC Markets, pointed out that while profit-taking may occur in the short term, $125,000 will be a key threshold, with support at $112,000; any pullback is seen as a buying opportunity, primarily driven by strong ETF demand.

Nicolai Sondergaard, a research analyst at Nansen, believes that this round of increases is more of an isolated event rather than purely macro-driven, but U.S. fiscal expansion and expectations of monetary easing have created a favorable environment.

Greg Benhaim, Executive Vice President of 3iQ Digital Asset Management, emphasized that institutional and corporate adoption is strong, with companies like MicroStrategy accumulating Bitcoin at a "crazy pace." If the dollar's depreciation intensifies, "there's no upper limit to the price increase."

Matthew Sigel, Head of Digital Asset Research at VanEck, expects that the passage of legislation could trigger a short-term price surge, but the effects will not be immediately apparent.

He noted that the U.S. debt deficit, a weakening dollar, and the momentum of Federal Reserve rate cuts, combined with corporate Bitcoin purchases exceeding ETFs, will drive Bitcoin to reach $180,000 per coin by 2025