Crypto companies 'running towards' regulation is good for bitcoin, analyst Tom Lee says

• Moves by two major companies in the cryptocurrency space this week could be evidence that regulation is smoothing out and could bode well for struggling bitcoin prices, according to Fundstrat's Tom Lee.
• "We believe the regulatory picture is now improving — best evidenced by Coinbase and Circle 'running towards' regulation," says Lee.
• Coinbase announced it would acquire securities dealer Keystone Capital Wednesday in a bid to become a fully SEC-regulated broker-dealer and Goldman Sachs-backed cryptocurrency platform Circle is reportedly seeking a federal banking license.

Moves by two major companies in the cryptocurrency space this week could be evidence that regulation is smoothing out, which could bode well for struggling bitcoin prices, according to one closely followed analyst.

"We believe the regulatory picture is now improving — best evidenced by Coinbase and Circle 'running towards' regulation," Fundstrat co-founder Tom Lee said in a note to clients Thursday. "We are basing this on the notion that Coinbase and Circle would only take these actions if such was the case."