Legalize is the wrong word I reckon. The better and more accurate word would be to regulate. To which I have mixed feelings of, because the community is giving up some control of the cryptospace and offering it willingly to the government. We already know how corrupt governments can be.
Earlier they do better it will be for so many investors who had invested and awaiting the btc to cross 10k. It is going through some downfall at the moment and thus many are staying away due to this. Some sort of momentum will help the btc price to recover back.