COIN Stock Eyes $300 as Coinbase CEO Rejects Flawed Crypto Bill

COIN stock gained attention after analyst Paper Bozz posted a bullish technical view on X. The setup appeared as Coinbase CEO Brian Armstrong rejected a Senate Banking draft crypto market structure bill, calling key parts of it flawed. The combination pulled both traders and policy watchers back to the stock.

COIN Stock Outlook Firms as Senate Crypto Bill Is Delayed

In an X post, analyst noted that COIN stock is forming bullish divergence on MACD and RSI. The analyst presented it as a brewing momentum shift despite the continued pressure on price. The post also cited a secondary trendline that points to a potential bounce if buyers come in.

The weekly stochastic indicator is in oversold territory and crossed to the upside, the analyst said. That change typically signals that sellers are losing control of the market, but it is not a confirmation of a reversal by itself.

Paper Bozz also raised a descending broadening wedge pattern on the chart. If that wedge breaks higher, the analyst said COIN stock could make a move to the $292 to $300 region.

Regulatory headlines added another layer to the story. As CoinGape reported, CLARITY act Stalls as senate postpones markup following Coinbase backlash. That pushes the timeline back to at least February, after getting pushback from some parts of the crypto industry. 

Coinbase CEO Armstrong Rejects Senate Crypto Draft

In an interview, Armstrong said that Coinbase is not in a position to give its support to the Senate Banking draft in its current form because it has many flaws. He mentioned that the company took the text into account about 48 hours after it was noticed. 

Armstrong’s criticism shows why Coinbase and other crypto companies are not backing the crypto market structure bill. The first of his main criticisms were stablecoin rewards. Rewards are important to Coinbase since they allow customers to earn more and save more than when they have traditional savings accounts.

Armstrong said that crypto firms should not be restricted to offer products that the banks are already offering at interest. According to him, the wording of the bill would limit any competition and bias outcomes in favor of large, conventional financial institutions.

He also sounded the alarm about the regulatory framework. He said the draft seems to send crypto assets through the SEC before they would land at the CFTC, but that it is a role diminished by design. 

The fractional reserve lending by banks makes them more to be controlled, Armstrong stated. The model can trigger bank-run risk, which is why banks face strict oversight. He contrasted this with GENIUS stablecoins fully backed by short-term U.S. Treasuries.

As CoinGape reported ealier, Armstrong countered with an X post targeting journalist Eleanor Terrett, whom he claimed was not correct. Terrett had already reported that the White House threatened to drop support of the Clarity Act bill.

In a statement, Terrett defended her reporting as “airtight and accurate.” The core of her report remains the same, she said, in that the White House requested Coinbase secure a stablecoin yield deal. White House backing now seems linked to that result, Terrett said.