Bitcoin and Ethereum closed yesterday in positive territory, maintaining solid prospects for a return to a bullish trend.

It makes sense to discuss yesterday's interview with Michael Barr, the Federal Reserve's Vice Chair for Supervision. Fed officials rarely expand on cryptocurrencies, making his remarks particularly noteworthy.

Barr dismissed claims that the crypto industry is being excluded from the banking sector, stating that the Federal Reserve does not obstruct crypto-related activities.

The Fed official emphasized that regulators are trying to maintain a neutral stance on the integration of cryptocurrencies into banking.

"We consistently say that we aim to be straightforward and provide clear guidance so that banks wishing to engage in this activity can do so properly. But now is not the right time," Barr stated. "We're not telling them they should do it, and we're not telling them they shouldn't," he added during an event at Georgetown Law School.

Crypto de-banking remains a hot topic

The issue of crypto de-banking has been at the forefront in recent weeks, especially under the new Trump administration. Industry leaders, lawmakers, bank CEOs, and regulators are actively working to resolve the challenges of crypto integration into the banking system. Meanwhile, crypto companies still report difficulties opening and maintaining bank accounts in the US.

Last year, Coinbase sued the Federal Deposit Insurance Corporation (FDIC) through the consulting firm History Associates, accusing the agency of attempting to cut off the crypto industry from banking services. Since then, major banking executives have publicly shared concerns about their struggles with crypto.

Barr's comments on Thursday followed similar top-level statements—Fed Chair Jerome Powell recently called for a fresh review of de-banking issues during a Senate Banking Committee hearing earlier this month.

Barr, who will step down as Vice Chair for Supervision at the end of the month, stated that the Fed's focus remains on consumer protection and preventing illicit financing. However, he will continue serving as a Federal Reserve Board Governor.

"Our position has been consistent throughout my tenure at the Federal Reserve: we don't tell banks whom they should or shouldn't do business with," Barr reiterated.

While there are no concrete solutions yet, these discussions will inevitably lead to progress—making them a positive development for the crypto market in the long run.

Bitcoin technical outlook

Buyers are now aiming for a return to the $98,800 level, which would pave the way toward $100,200 and then $101,200. The ultimate target sits near $102,200, and breaking above it would confirm a return to a mid-term bull market.

If Bitcoin declines, buyers are expected at $97,400. A breakdown below this level could quickly push BTC toward $96,300, with the next major support at $95,200. The final downside target is the $93,900 zone.

Ethereum technical outlook

A clear breakout above $2,766 will open the path toward $2,810, with the ultimate target at the one-year high of $2,855. A move beyond this level would confirm a return to a mid-term bull market.

In case of a correction, buyers are expected at $2,714. A drop below this area could send ETH toward $2,670, with the final support level at $2,626.