Source: CryptoNewsNet Original Title: Why Has the Expected Rise in Bitcoin Not Happened? Are We in a Bear Market? Chinese Analyst Assesses – ‘The Expected Spark…’ Original Link:

Market Sentiment and Regulatory Delays

The cryptocurrency market is experiencing a period of low sentiment as expected regulatory clarity steps from the US Senate slow down.

The impasse regarding the Clarity Act, eagerly awaited by investors in the Bitcoin and altcoin markets, has created a sense of “capitulation” across the market. Weakening bipartisan support and the complexity of the bill continue to put pressure on prices.

Market Analysis: Liquidation and Competition

According to Ava Labs President John Wu, the large liquidation event on October 10th cleared leverage from the system, but “the damage is still surfacing.” He also noted that alternatives such as AI stocks and prediction markets are dividing interest in crypto assets.

Despite the “sluggish” price movements, institutional interest in the sector is higher than ever. Institutions are now interested not only in crypto assets but also in using blockchain as an enterprise technology.

Regulatory Bottlenecks

John Wu attributed the slow pace of regulation to disagreements between Senate committees. Nearly 600-page drafts submitted by the Finance Committee and the Agriculture Committee needed to be combined, which prolonged the process. However, the fact that the Trump administration raised the issue of crypto at platforms like Davos was a strong indication of its will.

2026 Outlook

Wu predicts that 2026 will be very different from 2025. Bitcoin will solidify its position as a store of value, but a consolidation process is inevitable in the altcoin market, where “thousands of worthless projects” will be eliminated. The real “spark” in the market could come in the second half of the year with increased regulatory clarity.