Garlinghouse Reveals What’s Next After XRP Price Reacts Following CLARITY Act Rejection
XRP price retreated sharply last week, drawing the attention of traders looking to understand what’s happening. The sharp drop, which signals cautious sentiment, came after US legislators killed the CLARITY Act. In response, Ripple CEO Brad Garlinghouse expressed his disappointment after the lawmakers voted against the legislation to legalize the motion. While he accepted the fate, he said the digital asset market, including XRP, can continue to grow without the draft.
The Senate disapproved the CLARITY Act yesterday. Senators voted 49-50 against advancing the act on Tuesday, September 15, blocking the bill, which would have unveiled the country’s first legislative framework for digital assets.
XRP falls 10% amid Clarity Act shootdown
XRP dropped to $1.27 following the Senate vote. Last week, the asset recorded a 10.3% decline, the worst performance (amidst its recent rally) after US senators failed to approve the CLARITY Act. The motion failed because it did not reach the expected 60 votes needed to pass the bill to the next stage, ending hopes of it becoming law this year.
Data shows XRP was hit hardest, followed by ETH, which dropped 7.2% to $2,392. Solana was next, down 5.7% to $97.01. Hyperliquid and Zcash each slipped nearly 4%, while Bitcoin fell almost 3% to $75,693. BNB and Tron fell the least, down less than 1% each.
Amid the negative market event, XRP dropped below its crucial $1.40 support, pointing to more uncertainty ahead. The drop below this key support suggests the asset is back under selling pressure as the broader crypto market surrenders part of its recent recovery. The pullback comes after a strong market-wide rally over the past four weeks, with the failure to pass the CLARITY Act pinpointed as the cause of the larger market to fall.
Crypto will win without the bill: Garlinghouse
Due to the sudden, unexpected event, Ripple CEO voiced his dissatisfaction today following the US Senate’s move to shoot down the bill. On his X account, Garlinghouse admitted that the result of the bill’s procedural vote was disappointing. He noted that Ripple and the crypto industry had made major commitments to advancing the bill but ultimately failed to see it pass.
The CEO, however, stated that the U.S. crypto industry can continue to grow without intervention from the bill. He said the CFTC and SEC will continue formulating rules to address the regulatory gap left by the act’s stalled progress. He said the vote failure would not affect XRP’s momentum, international expansion, or investor demand.
