Following Circle Internet Group’s CRCL share price plunged following fears that draft CLARITY Act could restrict stablecoin yields, the stock appears to be gearing up for a bounce of about 25% as per the latest indications.
The stock is again trying to find its feet above one significant support level around $100.75, where the 100-day exponential moving average (100-day EMA) lines up with the 0.236 Fibonacci retracement level.
CRCL Eyes 25% Upswing
The talk here is about CRCL trying to establish a base at the critical support cluster around $100.75. Should the stock manage to keep its current floor and get a running start, a bounce to the 0.382 Fibonacci retracement level close to $130 can be expected in the next few weeks.
This would mean an increase of about 25% for the stock. Other major investor including Ark Invest also demonstrated their faith in Circle by making a purchase of $16 million worth shares during the recent fall of stocks on Tuesday.
Also Read: CRCL USDC Freeze in 2026 Sparks Debate on Centralized Control
The CLARITY Act Effect
According to some analysts, draft CLARITY Act legislators will weaken distributor’s incentives more than Circle’s main reserve-income business. Bernstein proposal maintains a $190 price target, asserting that draft does not hamper Circle’s capability to earn yield on reserves or pay distribution partners. Circle’s business model is to invest USDC-backed assets in short-term US Treasurys, earn yield and share the income with partners.
Also Read: CRCL Listed in 2026 Top 10 Finance Innovators by Fast Company
Market View: Chance and Risk
Despite the arrangement is still conditional, a clear breakdown under the $100.75 support-level would undermine the recovery thesis.
Nonetheless, top forecasters like Bitwise are estimating that by 2030 Circle’s market capitalization may stand at $75 billion which is nearly tripling its present value, mainly because of the increasing stablecoin adoption and regulatory clarity.
Also Read: UK Crypto Donation Ban: Government Cracks Down on Political Party Funding in 2026
This article contains market analysis and price predictions. These are not guarantees. Crypto markets are volatile. Always DYOR. Not financial advice.
