Bitcoin Rangebound: Waiting for a Breakout or Breakdown?

Two words Bitcoin and Range bound.

They don't rhyme, but they both have two syllables and seem to go together.

Well, we saw an all-time high in late May and a brief dip below 100,000 over the weekend, Bitcoins mostly traded between 100,000 and 110,000.

Joining us this morning is Gareth Jenkinson, managing editor at Coin Telegraph.

Good morning, good afternoon to you and happy Friday.

So Bitcoin has been largely range bound, and I want to hear about what you think about what we've seen in terms of price action.

Morning, Remy.

Thanks for having me.

Yeah, uh, great to be back.

It's been a, a pretty interesting, um, few months for Bitcoin.

I think over the weekend, we saw Bitcoin drop, uh, below $100,000 last weekend for the first time in over 40 days.

So that was quite a milestone to achieve.

Uh, obviously, a lot of that had to do with, uh, escalating, uh, tensions in, in the Middle East and, and the US carrying out some air strikes.

Um, Bitcoin then consulted. validated above $100,000 and has been in that range for the last week.

In terms of what our analysts are telling us and, and, uh, what we're seeing, um, I think we can take a lot of positives away from the net, um, inflows into Bitcoin ETFs this week.

Uh, we, we saw 350 Bitcoin, 588 on Tuesday, 547 on Wednesday, 2020, 226, yes.

Today and of course, uh Friday will wrap up trading.

So it'll be interesting to see um if we are net positive or negative today in terms of the amount of Bitcoin that Bitcoin ETFs are buying up.

And this has been a real indicator for the overall trading of Bitcoin, uh, week to week.

So very positive that there were, um, positive inflows every day of the week so far, especially considering the amount of, um, Uh, you know, tension and, uh, uncertainty there was, uh, at the beginning of the week following the incidents over the weekend.

Yeah, and Gareth, as you mentioned, a lot of headlines pouring in whether we're talking about trade deals or the NATO summit or geopolitics, but I do want to zoom in on the US federal home loan regulator reviewing if crypto can help mortgage seekers here in the US get a loan.

So what's going on here?

Yeah, so, uh, the TLDR for your, for your viewers out there, um, the US is, uh, considering, uh, allowing US, um, potential home buyers to use Bitcoin, um, as collateral to borrow money to buy, uh, real estate.

This is a really big talking point because for the longest period of time, um, you know, most, most people haven't been able to use Bitcoin Holdings, um, as assets that they can borrow money against.

You do, of course, have some lenders in Market, very specialized lenders that will allow you to lock up your Bitcoin and borrow money against that and use it to do whatever you want to do with.

But, uh, for, you know, uh, the US, uh, federal government to turn around, uh, through its, um, agencies and say, hey, listen, you can use your Bitcoin, um, to, uh, you know, apply for finance and buy a home.

This is a major milestone for the industry and, uh, for us as an industry, it just indicates that, um, Bitcoin is being taken very seriously as an asset.

People understand that it has value because it is a hard money and people are now being able to borrow money against their Bitcoin holdings.

So overall very positive news and once again, just another green light of approval coming out of the United States this year.

Um, we've seen wholesale regulatory change and uh as a proponent for Bitcoin, I think it's fantastic news and, and definitely a highlight of the week for myself.

Well, Gareth, as always, thank you so much for joining us.

Uh, I appreciate the TLDR given that our attention spans are getting shorter by what seems like the minute.

Have a great weekend and look forward to speaking with you next week.

Thanks, Remy.

Thanks for having me.