Where is Bitcoin heading as prices hit record $120,000?
The world's biggest cryptocurrency hit another milestone on Monday, topping the $120,000 mark, amid heightened flows into Bitcoin exchange traded funds. That indicates a new level of seriousness from investors.
"What we're seeing now is sustained interest, supported by structural inflows, rather than short-term speculation," said Josh Gilbert, a market analyst at digital investment platform eToro.
Is $150,000 within sight?
Bitcoin passing $120,000 signals a sustained bullish trend heading into the third quarter of 2025, with the cryptocurrency projected to average about $125,000, said Ryan Lee, chief analyst at Bitget Research.
With analysts expecting a trading range of between $105,000 and $150,000, the key levels are $108,500 for support and $130,000 for resistance, "serving as critical markers for momentum confirmation", he added.
But Bitcoin's rise will hit some bumps, as "investments of this magnitude don't move in straight lines", said Nigel Green, chief executive of wealth management company deVere Group.
"They surge, cool, consolidate, then break out again. That's the phase we're entering," he said. 'The trajectory to $150,000 is intact, but investors should expect a sharp move to $140,000, then a healthy sell-off before we power higher."
A correction may also be due. The Crypto Fear and Greed Index, used to measure the mood of the market, is at 70, indicating "greed".
That means it is now back in overbought territory, suggesting a correction to the $105,000 to $110,000 range "wouldn't be surprising", said Ipek Ozkardeskaya, a senior analyst at Swissquote Bank. "Still, the rally is underpinned by a crypto-friendly US policy shift and growing emerging market adoption – [and] both remain intact."
Who is buying Bitcoin?
Bitcoin is witnessing more participation from institutional investors, such as hedge funds and mutual funds, Mr Gilbert said.
"Publicly traded companies are now adopting Bitcoin as part of their treasury strategy, with some making multibillion-dollar allocations," he added. "At the same time, retirement funds and sovereign wealth funds are starting to gain exposure through ETFs [exchange-traded funds], adding to the wave of demand chasing a fixed supply. This is the first real bull market where institutional participation is front and centre."
US policy wins
US President Donald Trump, a former crypto sceptic, is now championing digital assets. His influence and promises – both in the political and personal spheres – started the resurgence of the sector.
That has resulted in his administration pushing for more crypto-friendly regulations. This week, the US House of Representatives will tackle key bills aimed at further regulating the cryptocurrency market.
Crypto enthusiasts are hopeful that the Clarity Act, Anti-CBDC Surveillance State Act and Genius Act will be passed, which are expected to bring "some much-needed structure to the Wild West of digital assets", said Devika Mittal, regional head at Web3 company Ava Labs.
"It's a bold move that demonstrates how far we've come from the days when cryptocurrency was viewed as a fringe investment. The timing couldn't be better, as countries like Vietnam are starting to embrace crypto themselves, following America's lead in the global digital economy."
That also bodes well for Wall Street, where companies have been awaiting clearer rules. These bills could finally give them the confidence to dive in – in addition to protecting every day investors from scams and sketchy practices, Ms Mittal added.
"Instead of treating crypto with suspicion, lawmakers are now actively working to help the industry thrive while keeping it transparent," she added. "It's a remarkable turnaround that could reshape our understanding of digital assets and blockchain."
Among those bills, the Genius Act is expected to create a federal framework for stablecoins, one of the most significant regulatory steps the US has taken to date.
'This is not crypto on the fringe any more. This is front and centre of US financial policy. Trump is championing it, lawmakers are acting on it and Wall Street is all-in,' Mr Green said.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Crypto Insight
18 minutes ago
- Crypto Insight
35 companies now hold at least 1,000 Bitcoin as corporate adoption booms
Corporate adoption of Bitcoin is accelerating, with 35 publicly traded companies now holding at least 1,000 BTC each, signaling growing institutional interest in the world's largest cryptocurrency. Demand for Bitcoin is soaring among public companies four months after US President Donald Trump's executive order outlined the creation of a federal Bitcoin reserve for the world's largest economy. According to Chris Kuiper, vice president of research at Fidelity Digital Assets, at least 35 public companies have now surpassed 1,000 BTC in holdings on their balance sheets, worth more than $116 billion at the time of writing, up from 24 companies at the end of Q1. The growing Bitcoin-holding companies signal a 'notable increase in Bitcoin exposure,' said Kuiper in a Thursday X post. 'Bitcoin purchases became more widely distributed across public companies rather than concentrated among a few large buyers,' he added. Fidelity's data was published shortly after Bitcoin flipped Amazon's $2.3 trillion market capitalization to become the world's fifth-largest asset by total valuation, Cointelegraph reported on July 14. Following the new wave of institutional buying, over 278 public entities are now holding Bitcoin, up from 124 just weeks ago, according to The US leads all countries with 94 public entities holding Bitcoin, followed by Canada with 40 and the UK with 19 public BTC holding entities. Corporate Bitcoin investments rise 35% in Q3 2025 The growing institutional accumulation saw total Bitcoin purchases increase 35% quarter-on-quarter, from 99,857 BTC in the first quarter of 2025 to 134,456 BTC in the second quarter. 'Not only did the total purchases increase from Q1 to Q2 of 2025 […], but there are a lot more companies doing the buying,' said Fidelity's Kuiper. Bitcoin's open interest, which is near record levels, also points to growing institutional engagement, according to Iliya Kalchev, dispatch analyst at digital asset platform Nexo. 'Open interest in Bitcoin futures remains elevated above $45 billion, just shy of its historical peak, pointing to continued institutional engagement and speculative leverage,' the analyst told Cointelegraph, adding that the 'short-term trend remains sideways, but positioning suggests markets are bracing for a pivotal stretch.' Source:
Gulf Today
15 hours ago
- Gulf Today
The need to focus on the economy's significance
The size of the national debt has become a preoccupation across the political spectrum. Democrats have complained about the $3.4 trillion increase in the debt projected to result from President Donald Trump's tax cut. This represents 10 percent of the projected gross domestic product for 2035. Republicans also scream about the debt, even as they pass tax cuts to make it larger at every opportunity. Let's be clear: The bulk of the current deficit is the result of reduced tax revenue, not legislated increases in spending. Tax revenue peaked at 20% of GDP in 2000. For those who don't remember, the economy was booming that year, with a 4% unemployment rate and 4.1% GDP growth, according to the Tribune News Service. The latest projections, following the passage of Trump's tax cuts, show that tax revenue will be just over 16% of GDP next year. The loss of tax revenue, compared with the 2000 peak, will add $1.2 trillion to the 2026 deficit. While spending has increased relative to the economy, most of the increase was not due to profligate government spending but rather the result of higher Social Security and Medicare spending. This rise is because the huge baby boom cohort was in their prime working years in 2000. Now they are in their 60s and 70s and mostly collecting benefits from these programmes. Stepping back from the causes of deficits and debt for a moment, we should ask: Is the debt a big problem? A debt of $35 trillion or $40 trillion can scare people and be good fodder for political rhetoric, but the real question is how it affects people's lives. None of us sees the debt, in the sense that it does not directly affect us in our daily lives. We do see the economy. We know whether it is creating jobs and whether wages are outpacing prices. If the economy can generate growth at a respectable pace and it is broadly shared, we can say that we, and our children, will be better off in the future than we are today. If the economy can sustain 2.5% growth, we will, on average, be 30% richer 10 years from now. And that will be true even if the debt continues to grow as is now projected. Despite the fearmongering rhetoric, investors will not flee from holding the assets and the currency of a country with a strong, rapidly growing economy. However, recent policy decisions should make us question whether we will have a strong, rapidly growing economy. The Trump administration has made it a top priority to sever longstanding trade relations, instead imposing tariffs and making deals that have the lifespan of one of his golf games. This will make other countries reluctant to trade with the United States. Canada, the European Union, and much of the rest of the world are rapidly looking to make trade deals that exclude the United States. Trump is also attempting to chase out a large share of the US workforce. This is most immediately the case with undocumented workers who mostly hold low-paying jobs in construction, restaurants and farming. However, the anti-immigrant policies are also chasing away highly skilled workers who are concerned about being targeted by ICE agents empowered to arrest and detain anyone they decide could be undocumented. The Trump administration is also gutting funding for the research that has been the basis of US leadership in areas like medical technology and artificial Intelligence. It has declared war on the energy revolution, removing subsidies and imposing taxes on electric vehicles and clean energy. These policies almost seem designed to be an axe blow to the country's economy. A year ago, the economy was growing at a healthy pace, unemployment was low, and inflation was falling; we were seeing an unprecedented boom in factory construction.
Khaleej Times
15 hours ago
- Khaleej Times
Trump, Fed chief Powell bicker during tense central bank visit
Donald Trump and US Federal Reserve chairman Jerome Powell appeared together for a tense meeting Thursday as the president toured the central bank after ramping up his attacks on its management of the economy. Trump — who wants to oust Powell for refusing to lower interest rates but likely lacks the legal authority to do so — has threatened to fire the Fed chief over cost overruns for a renovation of its Washington headquarters. During a brief but painfully awkward exchange in front of reporters during a tour of the building, the pair bickered over the price tag for the makeover, which Trump said was $3.1 billion. Stay up to date with the latest news. Follow KT on WhatsApp Channels. The actual cost of the facelift has been put at $2.5 billion and Powell was quick to correct the president, telling him, "I haven't heard that from anybody." Trump produced a sheet of paper apparently listing construction costs and was told curtly that he was including work on the William McChesney Martin Jr. Building, which was not part of the project. "You're including the Martin renovation — you just added in a third building," Powell scolded. Trump stuck to his guns, saying it was part of the overall redevelopment. Powell shot back, "No, it was built five years ago. We finished Martin five years ago... It's not new." Trump moved on but the tense atmosphere between the pair was almost palpable, with the Republican leader unaccustomed to being contradicted live on air. The tour came with Trump desperate to shift the focus away from the crisis engulfing his administration over its decision to close the file on multi-millionaire sex offender Jeffrey Epstein, who died in 2019 while awaiting trial on trafficking charges. Attorney General Pam Bondi informed the president in the spring that his name appeared in the Epstein files, according to the Wall Street Journal. Epstein was accused of procuring underage girls for sex with his circle of wealthy, high-profile associates when he died by suicide in a New York jail cell. Trump has picked all manner of targets, including his Democratic predecessors and former chiefs of the security and intelligence services, as he tries to move Epstein out of the headlines. He berated Powell over interest rates on Wednesday, and alluded to his annoyance over the cost of borrowing more than 10 times during Thursday's tour. "As good as we're doing, we'd do better if we had lower interest rates," he told reporters. 'Do the right thing' Presidential visits to the Federal Reserve are not unheard of — Franklin D. Roosevelt, Gerald Ford and George W. Bush all made the trip — but they are rare. Trump has criticized Powell for months over his insistence on keeping the short-term interest rate at 4.3 percent this year, after cutting it three times last year, when Joe Biden was in office. Powell says he is monitoring the response of the economy to Trump's dizzying array of import tariffs, which he has warned could lead to a hike in inflation. But Trump has angrily accused Powell of holding back the economy, calling the man he nominated in his first term "stupid" and a "loser." The president struck a more conciliatory tone later Thursday, telling reporters they'd had a "productive talk" on the economy, with "no tension." "It may be a little too late, as the expression goes, but I believe he's going to do the right thing," Trump said. Soaring costs for the Fed's facelift of its 88-year-old Washington headquarters and a neighboring building — up by $600 million from an initial $1.9 billion estimate — have caught Trump's eye. A significant driver of the cost is security, including blast-resistant windows and measures to prevent the building from collapsing in the event of an explosion. The Federal Reserve, the world's most important central bank, makes independent monetary policy decisions and its board members typically serve under both Republican and Democratic presidents. Experts question whether Trump has the authority to fire Powell, especially since a Supreme Court opinion in May that allowed the president to remove other independent agency members but suggested that this did not apply to the Fed.
