TLDR
- Crypto market structure legislation (CLARITY Act) may drive deeper integration with traditional finance
- Stablecoin market projected to reach $1.9-4 trillion by 2030, with current volume at $280 billion
- New exchange-traded products (ETPs) and recent rate cuts could boost crypto investment
- Revenue-generating DeFi projects expected to perform well in Q4
- Digital asset treasuries are becoming more common among US-listed companies
The crypto market is poised for potential growth in the fourth quarter, driven by favorable regulatory developments, expanding stablecoin adoption, and new investment vehicles, according to market analysts.
The CLARITY Act, which represents comprehensive financial services legislation in the US, could serve as a key catalyst for crypto growth. Grayscale’s research team believes this legislation may trigger deeper integration between cryptocurrencies and traditional financial institutions.
Investors may also benefit from the Securities and Exchange Commission’s approval of generic listing standards for commodity-based exchange-traded products (ETPs). This regulatory change is expected to increase the number of crypto assets accessible to US investors through traditional investment channels.
Stablecoin growth appears to be accelerating faster than previously projected. According to a recent Citi report, stablecoin issuance volumes have jumped from approximately $200 billion at the start of 2025 to $280 billion currently.
Stablecoin Market Expansion
Citi has revised its 2030 forecast for stablecoin issuance upward to $1.9 trillion in its base case scenario and $4 trillion in its bull case. The previous projections were $1.6 trillion and $3.7 trillion respectively.
The bank estimates that if stablecoins circulate at velocity comparable to traditional fiat currencies, they could support up to $100 trillion in annual transactions by 2030 in the base scenario. This figure could potentially double in a more optimistic bull case.
Edward Carroll, head of markets at MHC Digital Group, told Cointelegraph that stablecoin growth will likely be a key driver of returns in Q4. He points to the GENIUS Act, signed into law by President Trump in July, which aims to establish clear rules for payment stablecoins.
“This should be positive medium- to long-term for any chain being used for stables, Ethereum, SOL, Tron, BNB, Eth layer 2s, but more fundamentally to the companies building and providing the products to market,” Carroll said.
Bitcoin and Altcoin Momentum
Bitcoin and altcoins may also see strong performance this quarter. Pav Hundal, lead analyst at Australian crypto broker Swyftx, noted that more money is flowing into crypto through funds and automated contributions.
A report from financial services company River found that ETFs are purchasing, on average, 1,755 Bitcoin per day in 2025. This consistent buying pressure could support Bitcoin’s price action.
“Unless the market is kneecapped by something unexpected, Bitcoin will likely hit new highs before the end of the year, and that will fuel altcoins,” Hundal said.
Henrik Andersson, chief investment officer of Apollo Crypto, expects Q4 to include ETF approvals in the US for staked assets and the passage of the CLARITY Act. He also believes revenue-generating projects in DeFi will continue to perform well.
The market may also benefit from the Federal Reserve’s recent interest rate cut on September 17, the first since last year. Grayscale’s researchers stated that “crypto assets should be expected to benefit from Fed rate cuts.”
The top-performing assets in Crypto Sectors by risk-adjusted returns highlight the importance of stablecoin legislation and adoption, rising volume on centralized exchanges, and digital asset treasuries (DATs).
Read the full report: https://t.co/uSkEKgh6qC pic.twitter.com/JKQ028DoIh
— Grayscale (@Grayscale) September 25, 2025
However, JPMorgan CEO Jamie Dimon has expressed skepticism about further rate cuts, suggesting the Fed will face challenges in reducing interest rates unless inflation drops further.
Citi’s report also suggests that bank tokens—such as tokenized deposits—could eventually see higher transaction volumes than stablecoins. This growth would be driven by corporate demand for regulatory safeguards, real-time settlement, and embedded compliance.
The forecast highlights the continued dominance of the US dollar in digital assets. Most on-chain money remains dollar-denominated, though financial hubs like Hong Kong and the UAE are emerging as centers for experimentation.
