Top 2 Altcoins Institutions Are Buying Before the Clarity Act

While most altcoins have struggled through the current market selloff, two assets have moved in a different direction.

Crypto analyst Tim Warren highlighted Bittensor TAO and Hyperliquid HYPE this week as altcoins where institutional money is actively building positions, and the on-chain and filing data supports that view.

Bittensor TAO: Institutional Backing Meets AI Momentum

TAO is up over 86% in the past month, currently trading at $329, ranked #27 globally with a market cap of $3.55 billion. The rally was driven in part by a March 20 appearance by Nvidia CEO Jensen Huang on the All-In Podcast, where he endorsed Bittensor’s decentralized AI model and called the approach a legitimate technical achievement.

The institutional infrastructure was already in place before Huang’s comments. Grayscale filed an S-1 for a spot TAO ETF in December 2025. Staked value across Bittensor’s AI subnets has grown from $74,000 a year ago to over $620 million. The network generated $43 million in AI customer revenue in Q1 2026.

DCG, Grayscale, Bitwise and Stillcore Capital are among confirmed investors. Early Uber investor Jason Calacanis has publicly described TAO as a potential 200x opportunity.

Hyperliquid HYPE: Three ETF Filings on an 18-Month-Old DEX

Hyperliquid is currently trading at $38.79, up over 44% in the past month, and sits at #10 globally with a market cap of $9.94 billion.

That ranking alone tells the story – a relatively young decentralized exchange in the top ten cryptocurrencies by market cap.

Hyperliquid generated $14 million in protocol fees last week, a 56% increase week on week, and recorded a platform-high 229,818 active traders.

Also Read: Is Hyperliquid Becoming the Onchain CME? S&P 500 Perp, Record Traders, Grayscale ETF & More

Grayscale filed for a spot HYPE ETF on Nasdaq under ticker GHYP on March 20, joining earlier filings from Bitwise and 21Shares. The platform now offers S&P 500 perpetuals with over $100 million in open interest, drawing in traditional finance participants seeking around-the-clock equity market exposure.

CLARITY Act: The Catalyst Both Assets Are Waiting On

Both TAO and HYPE stand to benefit from the CLARITY Act, targeting a Senate Banking Committee markup in April. If passed, the bill would allow US banks to hold digital assets on their balance sheets, opening institutional capital flows that analysts say are currently on the sidelines.

Read More: Clarity Act Update: Why Are Banks Fighting Against Stablecoin Yield?

Tim Warren’s analysis, supported by data and latest moves, points to institutional conviction building in both assets ahead of that potential catalyst.