Bitcoin (BTC) Price Action Hints at Weekend Volatility Ahead of White House Crypto Summit

Bitcoin (BTC) has seen an uptick in price as it heads into the weekend

Bitcoin (BTC) is set for a weekend of price action as it heads into the upcoming White House Crypto Summit on March 7. The summit will see President Donald Trump, industry leaders, and policymakers gather to discuss critical issues like stablecoin regulation, Bitcoin reserves, and broader digital asset oversight.

As the summit approaches, Bitcoin's price on the CME futures market closed at $84,258 on Friday. However, at the time of writing, (03:30 ET Friday) the cryptocurrency's price has risen to approximately $86,000—around a 2% increase over the weekend.

This price movement has led analyst Daan Crypto Trades to comment on the formation of a CME gap, which could signal increased volatility heading into next week.

"We're about to find out if the administration will register any US issuers of crypto assets (stablecoins) in particular," the analyst stated. "If not, it'll be interesting to see how the market reacts as it'll likely spark a breakout or correction from this range."

The White House Crypto Summit: What to Expect

While the full agenda for the summit remains undisclosed, two key topics are expected to be discussed: stablecoin regulation and the potential creation of a U.S. Bitcoin reserve.

Stablecoin regulation has been a subject of heated debate recently, with Circle CEO Jeremy Allaire calling for U.S. registration requirements for stablecoin issuers. Additionally, Senator Bill Hagerty recently introduced legislation to regulate stablecoins, which could impact the dominance of Tether's USDT and USD Coin (USDC) in the market.

In anticipation of the summit, Paolo Ardoino, CEO of Tether, shared a cryptic tweet, stating, "Excited for next week. Something is about to change." If stablecoin regulations are enforced, it could result in significant shifts in liquidity flows, especially considering Tether's vast holdings in global markets.

Moreover, proposals for a U.S. Bitcoin reserve are also being considered in 18 U.S. states, which are actively introducing bills to mandate state-level Bitcoin reserves. These efforts have led to questions about whether the federal government will intervene or leave Bitcoin adoption to the states.

Bitcoin Price Movement and Key Levels to Watch

In recent days, Bitcoin's price action has been characterized by volatility. From February 25 to 27, Bitcoin dropped significantly, falling 9.3% from a high of $86,000 to a low of $78,000.

However, the bearish trend was short-lived, and by February 28, Bitcoin rebounded sharply, rising 10.3% back to the $86,000 range.

As March begins, Bitcoin has entered a period of consolidation, trading in a narrower range between $84,000 and $86,000. This calm before the storm has also led to a reduction in trading volumes, which are now 30-40% lower than the volatile days in late February.

With the CME gap and uncertainty surrounding the summit, Bitcoin's price could either break higher or experience a retracement depending on what regulatory developments emerge.

For Bitcoin traders, the next key level to watch is the $87,000 resistance. If Bitcoin can break above this price point, it could signal the beginning of a bullish rally.

On the other hand, if market sentiment weakens and Bitcoin fails to hold above the $86,000 mark, it could face a pullback to the CME gap at $84,258, a key support level for many traders.

While political events like this summit usually don't trigger immediate price action, the White House Crypto Summit might be an exception. With President Trump's pro-crypto stance and ongoing regulatory shifts at the state level, this summit might signal a broader policy shift that could influence Bitcoin's future trajectory.