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Texas Bitcoin reserve hearing ‘symbolic move’ for crypto — Analyst

Cointime Official

From cointelegraph by Zoltan Vardai

The Texas Senate is set to hold a public hearing on Feb. 18 to discuss the establishment of a Bitcoin reserve, but market analysts say the move may be largely symbolic unless the state announces an immediate investment plan.

The first public hearing for the establishment of a potential strategic Bitcoin 

BTC$96,351reserve inTexas is scheduled for Feb. 18, less than a week after the bill was received by the Secretary of the Senate, accordingto the Texas government’s website.

Bill SB21. Source: Capitol.texas.gov

Despite being a positive step for Bitcoin adoption, the hearing may only represent a “symbolic move” for cryptocurrency markets, according to Iliya Kalchev, dispatch analyst at Nexo.

“Texas considering Bitcoin as a reserve asset is another chess move in BTC’s march toward institutional legitimacy, but state-level initiatives often make ripples, not waves, compared to ETF inflows or corporate treasury allocations,” Kalchev told Cointelegraph.

“Unless the hearing unveils a near-term purchase plan or a major policy shift, the market’s response will likely be mild, as Texas’ pro-crypto stance is already well known,” he added.

BTC/USD, 1-month chart. Source: Cointelegraph

Bitcoin has lacked upside momentum, trading under the $100,000 psychological mark for over nine days since Feb. 7, Cointelegraph Markets Pro data shows.

In the near term, Bitcoin will remain pressured by ongoing trade tensions between the US and China, according to Vugar Usi Zade, chief operating officer at Bitget. 

“While this headwind remains in the market, with President Trump eyeing more tariff hikes in the coming weeks, Bitcoin has traded with resilience,” Zade told Cointelegraph.

“With the US retaining its stance as the largest capital market, geopolitical tensions may continue to witness headwinds for the coin,” he added.

Trade tensions and Federal Reserve policy weigh on Bitcoin

While positive news around Bitcoin reserve legislation is a welcome sign of continued institutional adoption, Bitcoin’s trajectory is mainly driven by the US Federal Reserve’s monetary policy path, according to Kalchev:

“Crypto markets tend to price in expected developments, and while this hearing may add to Bitcoin’s long-term adoption story, macro forces like Fed policy and regulatory shifts remain the real power players in shaping BTC’s trajectory.”

Texas’ push for a Bitcoin reserve reflects a broader economic and political shift,” he added.

Other states are also implementing similar legislation. Kentucky became the 16th US state to introduce legislation aimed at establishing a Bitcoin reserve that would allocate up to 10% of excess state reserves into digital assets, Cointelegraph reported on Feb. 6.

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