The BTC price has been stuck in an awkward spot lately. Bitcoin is still holding above key support, but traders can clearly see momentum slowing down after the failed push toward $86,000. Now, a completely different catalyst is entering the conversation, the CLARITY Act.
Grok AI made a bold prediction this week, saying that if the Digital Asset Market CLARITY Act gets passed before the White House’s July 4 target date, the BTC price could climb toward the $85,000 to $90,000 range much faster than people expect. That’s a huge call, especially because the chart itself has started flashing warning signs in the short term.
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Bitcoin’s Chart Looks Tired – But That Could Change Fast
We had a look at the Bitcoin 4-hour chart, and there’s definitely some weakness showing up.
Bitcoin rejected hard near $86,000 and has been moving sideways ever since. Traders also noticed several bearish RSI divergence signals appearing during the move higher. That usually happens when price keeps trying to push up, but momentum underneath starts fading.
The BTC price remains trading above the 100-period moving average at the level of $78,700; thus, the general direction remains intact for now. However, in case of losses below the mark of $80,000, traders will most likely pay attention to other possible support lines, including $78,700, $76,000, and $74,000.
In this situation, for bulls to restore full control over the market, they have to achieve a decisive breakout above $84,000.
Read Also: Bitcoin Price Today: BTC Hits $82.8K Then Rejects – Strategic Reserve News Incoming
Why the CLARITY Act Has Traders So Interested
The reason this bill matters so much comes down to one thing: institutional money. For years, large investors have been hesitant to go deeper into crypto because of regulatory confusion in the United States. Nobody wanted to deploy billions into an industry where rules could change overnight.
The CLARITY Act is supposed to reduce that uncertainty by creating a more defined structure for digital assets and crypto markets. That’s why many traders believe this could become one of the biggest crypto catalysts of 2026.
Grok AI basically argued that if the bill passes before July 4, the BTC price may ignore the current bearish signals completely and move into a much stronger rally phase fueled by institutional inflows. And honestly, that’s not hard to imagine in the current environment.
The Market Feels Like It’s Waiting for a Trigger
Bitcoin hasn’t collapsed, but it also hasn’t shown the big momentum traders were hoping for after breaking above major resistance earlier this year. Instead, the market has entered this strange waiting period where everyone seems to be watching the same thing: regulation.
Meanwhile, stock markets remain strong, risk appetite is improving again, and traders are actively looking for the next major narrative that could bring fresh capital into crypto. That’s exactly why the CLARITY Act has become such a big discussion point.
If lawmakers move quickly and the bill advances before July 4, many traders think the BTC price could react almost immediately. The $85,000-$90,000 range is already being mentioned as a realistic goal provided that institutions will be finally getting all the clarity they need.
Meanwhile, the Bitcoin price is still stuck in an area where it has to overcome the declining momentum and wait for one huge positive catalyst to trigger its future movements.
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