by Enoch Mwathwa
The Bitcoin price evolution faded on Saturday after Arizona Governor Katie Hobbs rejected legislation that would have established a crypto reserve. A proposed crypto reserve bill in Arizona pushed the market toward caution after developers halted BTC price growth in the area of $98,000 resistance level.
Arizona Governor Blocks Bitcoin Reserve Bill After House Approval
On May 2, Arizona Governor Katie Hobbs vetoed Senate Bill 1025. The bill proposed using state-seized funds to build a Bitcoin reserve.
The Arizona House had approved the bill earlier, suggesting growing bipartisan support for crypto integration at the state level. However, Hobbs cited “fiduciary risk” and the volatility of virtual currencies as reasons for her decision.
“Our retirement system is strong because we do not invest in untested assets,” she said. The bill also included a clause allowing up to 10% of the state treasury to be held in Bitcoin.
This veto aligns Arizona with other U.S. states such as Oklahoma, Wyoming, and Montana, where similar bills have failed in recent years. Another related bill, SB1373, remains under review and may return to the legislature soon.
Bitcoin Price Faces $1.2B Sell-Wall Near $98,000
Bitcoin price reached $97,800 early Saturday before retreating to $96,700. This pullback came shortly after the Arizona veto, which introduced fresh caution into the market.
Data from Coinglass shows over $1.2 billion in short leverage positioned at the $98,000 mark. These positions represent a critical resistance level as traders defend this ceiling.
Bulls still hold $7.45 billion in long positions, compared to $4.42 billion on the short side. However, nearly a quarter of the short volume is focused between $97,800 and $98,200.
This sell wall has become a key barrier for the Bitcoin price. Traders are monitoring this level closely to assess whether bullish momentum can resume.
Bitcoin Price Forecast: Rangebound Between $96,000 and $98,000
The value of Bitcoin maintains its position within a defined range between $96,000 and $98,000. The price movements on the daily chart demonstrate stagnation following its multiple-day upward trend.
Bitcoin maintains positions above its 20-day indicator at $90,813. The strong base of support exists uninterrupted despite present market defiance.
The combination of Bollinger Bands and MACD indicators indicates a possible declining trend in Bitcoin’s movements. The BBP indicator shows stability at 5,647 in its current position. Data from the MACD histogram bars reveals decaying buying pressure because the bars continue declining.
The continuation of the price consolidation phase toward next week seems probable unless Bitcoin demonstrates persistent buying pressure exceeding $98,200.
Regulatory Uncertainty Slows Institutional Demand
The United States faces ongoing legal uncertainty about cryptocurrencies because various states hold different opinions about Bitcoin serving as a dependable treasury resource.
Lawmakers favor crypto usage in treasuries but the same officials remain hesitant regarding such implementation. Governor Hobbs reflects the differences between official viewpoints regarding this matter.
Market analysts predict that the authentication field participation will decrease throughout this weekend. The sell-wall near $98,000 acts as both a technical and psychological barrier.
To breach the $100,000 value of Bitcoin requires significant support from investors. The marketutz maintain BTC positions in a border region since investors require extra information to proceed with their choices.
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