Institutions are Adopting a "Cautiously Optimistic" Outlook for 2026, with the "Cryptocurrency Market Structure Bill" in Focus

**January 10th Crypto Update** A team led by Goldman Sachs analyst James Yaro said in a report: “We believe improvements to the regulatory environment are a key driver for ongoing institutional adoption of cryptocurrency—especially for financial institutions acting as buyers and sellers—while new use cases for crypto beyond trading are also emerging.” The report highlighted the long-awaited U.S. market structure legislation currently advancing in Congress as a critical catalyst. Goldman Sachs analysts warned the legislation must pass by the first half of 2026, as November’s U.S. midterm elections could delay the process. Other voices have aligned with Goldman’s crypto market outlook. Jim Ferraioli, Director of Crypto Research & Strategy at Javelin Wealth Management Financial Research Center, noted in an email: “Following the sharp sell-off at the end of 2025, institutional adoption may slow in the first half of this year—but passage of the Clarity Act could accelerate entry for genuine institutional investors.” Anticipated favorable crypto legislation has boosted Bitcoin’s 2026 bullish outlook. Youwei Yang, Chief Economist at Bitmine, stated: “2026 could be a strong year for Bitcoin, with potential interest rate cuts and a more accommodative regulatory stance toward crypto providing support.” He predicted Bitcoin could hit as high as $225,000 in 2026, but added: “Amid ongoing macroeconomic and geopolitical uncertainty, market volatility may intensify.”