Why is Crypto Up or Down?

Crypto is up (+3.0%) — Top: ARB +15.3%

Crypto markets traded higher on average (about +3%), with leadership concentrated in DeFi names as investors responded to a more constructive policy narrative after Bitwise framed the CLARITY Act’s passage as a meaningful step toward regulatory clarity. That backdrop helped lift protocol tokens such as Arbitrum (ARB) and Aave (AAVE), aligning with Bitwise’s view that DeFi is “quietly re-rating” versus Bitcoin as perceived regulatory risk eases. Offsetting headlines, including a reported attempt to backdoor an Injective-related npm package and the EU’s “chat control” vote, did not materially derail risk appetite, suggesting today’s bid was driven more by policy sentiment and sector rotation than by security or privacy concerns.

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