Circle Stock (CRCL) Soars after Senate Passes Stablecoin Bill
Shares of Circle (CRCL) are surging again on Friday after the U.S. Senate approved the GENIUS Act, which is a bill that is designed to regulate stablecoins. The stock is up 20% at the time of writing, following a 33% jump on Wednesday after the bill passed (U.S. markets were closed Thursday for the Juneteenth holiday). As a result, Circle's shares are up more than 60% for the week and have skyrocketed over 500% since going public on June 5.
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Interestingly, Coinbase (COIN) also got a boost today. That's because Coinbase earns half the interest revenue from Circle's USDC stablecoin reserves, and all the interest on USDC held directly on its own platform. However, it is worth noting that the GENIUS Act still needs approval from the House of Representatives. Still, investors are hopeful. Indeed, stablecoins, which are digital tokens tied to the U.S. dollar, are attracting more attention from banks and tech companies as crypto regulations shift under the Trump administration.
Big names like Amazon (AMZN), Walmart (WMT), Apple (AAPL), Uber (UBER), and Airbnb (ABNB) are reportedly exploring how to use or create their own stablecoins. The GENIUS Act aims to make payments faster, more transparent, and safer, while also increasing demand for U.S. dollars and government debt. It includes rules to protect consumers, set collateral standards, and provide clear oversight. As a result, Galaxy Digital's Alex Thorn says the bill could pave the way for traditional finance to start using public blockchains, which would increase the adoption of bitcoin, crypto, and decentralized finance.
Is CRCL Stock a Buy?
Using TipRanks' technical analysis tool, the indicators seem to point to a positive outlook for CRCL stock, thanks to two Bullish indicators and no Neutral or Bearish indicators. However, it is worth noting that since the company recently went public, there is not enough data to fully analyze its technical patterns.
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