Owen Lau, an analyst at Clear Street, stated that there are signs of the end of the prolonged downturn in the cryptocurrency market. According to his assessment, the market is showing a noticeable recovery after a significant decline, and recent events may indicate the beginning of a new upward trend.
This is reported by Finway
Bitcoin’s Rise and Regulatory Changes
From October 10, 2025, to February 28, 2026, Bitcoin lost about 44% of its value. However, in the past week, from February 26 to March 5, the cryptocurrency’s price increased by 5.8% and even surpassed the $73,000 mark, despite the challenging geopolitical situation, including tensions between the U.S., Israel, and Iran. These events were accompanied by a renewed discussion of the CLARITY Act, aimed at regulating the crypto market in the U.S.
Analysts note that alongside the rising price of Bitcoin, there is also positive momentum in the regulation of cryptocurrencies. For instance, the Kraken exchange recently obtained an account with the Federal Reserve, which may indicate further integration of crypto companies into the country’s financial system.
“The industry may have reached a turning point, and we believe this growth will continue,” said the expert.
The Impact of Trump and Legislative Prospects
An important factor for the market was the statement by U.S. President Donald Trump, who supported the CLARITY Act and opposed the banking lobby. According to Lau, this significantly increases the likelihood of the bill being passed by the end of summer 2026. Such a move could serve as a powerful impetus for launching a new rally in the cryptocurrency market, a sentiment echoed by forecasts from JPMorgan Chase experts.
At the same time, some traders caution that the current rise may be a typical “bull trap.” A similar situation occurred in 2022: after a rapid increase, there was a sharp drop in value. Some analysts predict that history may repeat itself this time, and the price of Bitcoin could decrease to $45,000 within the next two weeks.
Thus, while signs of the end of the crypto winter and optimism regarding future regulation have emerged in the market, investors should remain cautious and consider the potential risks of significant price fluctuations.
