Crypto prices are expected to be driven by proposed legislation on crypto market structure, stablecoins, and an influx of exchange-traded products (ETPs) in the fourth quarter, according to analysts speaking to Cointelegraph, following a quarter dominated by assets linked to digital treasuries.
In a report published on Thursday, Grayscale’s research team stated that the CLARITY Act, aiming for a comprehensive financial services framework in the US, could act as a catalyst for deeper integration with traditional finance.
Moreover, the approval of a generic listing standard for commodity-based ETPs by the Securities and Exchange Commission may lead to increased inflows, broadening the range of crypto assets available to US investors.
The researchers noted that crypto assets are likely to gain from Federal Reserve rate cuts, with the first reduction since last year happening on September 17, and potentially more cuts to follow.
Despite this, JPMorgan CEO Jamie Dimon expressed skepticism about further rate cuts, commenting on Monday that the Fed might struggle to lower rates absent a significant drop in inflation.
Stablecoin chains may emerge as key players this quarter
In a discussion with Cointelegraph, Edward Carroll, head of markets at MHC Digital Group, anticipated that stablecoin growth will significantly drive returns in Q4.
The GENIUS Act, signed into law by US President Donald Trump in July, aims to establish clear regulations for payment stablecoins, though final regulations awaited for implementation.
“This should bode well for any chain utilized for stablecoins, including Ethereum, SOL, Tron, BNB, and Eth layer 2s, as well as for the companies developing and marketing these products,” Carroll stated.
He also suggested that institutional interest in tokenization will grow, as larger players explore tokenized money market funds, bank deposits, and exchange-traded funds (ETFs).
Bitcoin and altcoins may enjoy a robust quarter as well
Pav Hundal, lead analyst at Australian crypto broker Swyftx, informed Cointelegraph that increased investment through funds and automated contributions is directing more capital into crypto, and a Bitcoin (BTC) rally anticipated by year-end may trigger a surge in altcoins during Q4.
A report from financial services firm River earlier this month indicated that ETFs are now acquiring approximately 1,755 Bitcoin daily in 2025.
“Provided the market isn’t disrupted by unforeseen events, Bitcoin should reach new heights by the year’s end, which will, in turn, uplift altcoins,” Hundal remarked.
“2025 has seen a rotational market, where altcoins tend to perform strongly following an initial Bitcoin rally. I see no reason for this trend to shift. The standout performers during these rotations have included memecoins and DeFi applications like Pump.fun, Hyperliquid, and Aster.”
Reflecting on the previous quarter, Hundal noted that a significant trend involved US-listed companies transitioning to digital asset treasuries, with Ether (ETH), Solana (SOL), and Hype being standout performers in recent months.
Related: Crypto treasury share buybacks may indicate a competitive ‘credibility race’
DeFi revenue-generating projects could also perform well
According to Henrik Andersson, chief investment officer of Apollo Crypto, he anticipates Q4 to feature ETF approvals in the US, including for staked assets, and the passing of the CLARITY Act.
“We believe that revenue-generating projects in DeFi will exhibit strong performance. Stablecoins and RWA are likely to continue as prominent themes.”
However, he noted that expectations around rate cuts in the US might prove disappointing, as the economy and labor market appear to be performing better than the Fed had predicted when it reduced rates.
Andersson remarked that in the third quarter, significant developments included buybacks from Hyperliquid and Pump, alongside the growing prevalence of digital asset treasuries.
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