This week, Bitcoin (BTC) raised investors’ hopes and left them disappointed yet again. Following the US jobs report, BTC/USD fell to an intraday low of $19,395.79 earlier today.
In a new interview with Circle CEO Jeremy Allaire, O’Leary expressed that he believes there’s one thing preventing Bitcoin (BTC) from getting out of its current trading range. According to Kevin, bringing in support of US policymakers could catalyze an influx of institutional capital into the crypto markets, which could eventually spark a Bitcoin breakout.
Kevin O’Leary said:
“I also believe that the one thing – just getting stablecoins [regulations] done… It’s the lowest-hanging fruit, but it would also signal to the rest of the crypto market, primarily the institutional investor market.
I actually think, and this is speculation, that if you got this thing done with just stablecoins, and you got it regulated, it would increase the value of a lot of different positions that I have including Bitcoin.
Because they would make the assumption that we are stuck in a $17,000 – $22,000 range on Bitcoin and we will never get out of that if we don’t get institutional support. It’s just going to sit there forever.”
O’Leary also says that he can see the signals that hint at Bitcoin losing its trend with respect to its adoption. The shark tank investor said, “There’s a fatigue in this market now. And there’s a lack of adoption, and there’s a lack of wallets. There’s a lack of a lot of stuff, and it’s really coming to the front now. People [are] saying, ‘We’ve got to break through this.’ It’s like a giant log jam.”
What’s In The Box For BTC Investors?
On-chain analytics firm Whalemap’s data shows the three price zones investors should focus on.
“So far, the resistance at $20,380, that is due to a whale accumulation of ~20,200 BTC, has been working quite well, with the latest rejection being almost to the dollar accurate.”
It must be noted that Bitcoin and the broader crypto market are primarily in a state where a range of bullish and bearish factors could determine the next direction of the trend. Few Bitcoin, crypto market and equities metrics show confluence and support the possibility of a relief rally in the short term. Generally, the overall trend favors a possible downside.
The most promising short-term actions from Bitcoin would be to either maintain floating in the same range, holding $20,000 and $18,400, or a high volume breakout, clearing the current 116-day range with a series of daily closes at highs of $25,200.