Bitcoin soars as “Crypto Week” kicks off

• Bitcoin hits ATH above $123,000 ahead of busy week

• “Crypto week” could be a major turning point for the industry 

• GENIUS, CLARITY & Anti-CBDC Surveillance Act in focus 

• “OG” crypto forecasted to move ↑ 2.8% or ↓ 2.6% post-CPI

• Technical levels: $120,000, $115,000 and $112,000

Bitcoin surged to a new all-time high yesterday, smashing through $123,000.

Although prices later tumbled on profit-taking, bulls are still in the picture ahead of a critical week for the crypto space. 

Indeed, this could be the turning point investors have been waiting for as the US House of Representatives prepares to consider key industry legislation.

What are the industry-friendly bills?

• The GENIUS Act aims to regulate stablecoins, requiring issuers to register, hold reserves, and provide disclosures. It's already passed the Senate with bipartisan support.

• The CLARITY Act aims to define digital commodities and divide oversight between the SEC and CFTC, introducing much-needed structure to the cryptocurrency market. 

• The Anti-CBDC Surveillance Act proposes to block the Federal Reserve from issuing a central bank digital currency, citing privacy concerns.

According to Polymarket, GENIUS has a 94% chance of passing and CLARITY has a 54% chance. Any new crypto law could boost sentiment towards cryptocurrencies, boosting Bitcoin as a result. 

Looking beyond “Crypto Week”, the incoming US CPI report may trigger significant price swings. 

Note: The report will be published at 12:30 PM GMT

Signs of rising inflationary pressures may reduce bets around lower US interest rates, weighing on Bitcoin which remains sensitive to rates.

Bitcoin is forecasted to move 2.8% up or 2.6% down in 6-hour window after US CPI release.

• A hotter-than-expected US CPI print may drag Bitcoin prices lower

• A cooler-than-expected US CPI print could push Bitcoin prices higher

Technical outlook

Bitcoin is firmly bullish on the daily charts, but the Relative Strength Index (RSI) signals that prices are heavily overbought. 

BULLISH – Another breakout above $120,000 may push prices back toward the all-time high and beyond. 

BEARISH – Weakness below $115,000 could see prices descend back toward $112,000 and $110,000.

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