Bitcoin (BTC) is edging lower by 0.3% to
$118,422 this week — a seemingly modest decline given the wave of bullish news
and significant capital inflows. Despite this pause, BTC remains positioned
just below the key resistance level at $127,000, and momentum continues to
build.
A historic step was taken this week with U.S.
President Donald Trump signing the GENIUS Act, marking the beginning of a
formal crypto legislative framework in the United States. Meanwhile, the
remaining two pivotal bills — CLARITY (on market infrastructure) and the CBDC
bill — successfully passed through the House of Representatives. With these
developments, the U.S. is laying the groundwork for a new financial era. Still,
market participants appear cautious, likely due to lingering concerns about the
August 1 tariff deadline.
There are signs of optimism on that front too.
Trump announced a significant deal with Japan featuring mutual tariffs of
15.0%. With only the EU yet to strike an agreement, the final trade hurdle
could soon be removed, potentially clearing the path for a broad-based crypto
rally.
Institutional investors are not waiting. Last
week alone, they poured $2.94 billion into Bitcoin ETFs — including IBIT
(BlackRock), FBTC (Fidelity), and GBTC (Grayscale). It’s a striking vote of
confidence, reinforced by Trump Media & Technology Group's announcement of
a $2.0 billion Bitcoin purchase. For Trump and his affiliates, this move
resembles an all-in bet, signalling conviction that a major rally is near.
Upcoming Q2 earnings reports from tech giants
could provide an additional boost. Following a strong showing by Netflix (NFLX)
last Thursday, investors now await results from Alphabet (GOOG) and Tesla
(TSLA) this Wednesday with the potential to energise both equities and crypto
markets.
Technically, BTC remains firmly within its
bullish structure, currently trading in the $117,000–$127,000 intermediate
target zone. A breakout above $127,000 could unleash a sharp rally toward the
extreme target of $155,000–$165,000. That may ultimately mark a point for
profit-taking, but for now, momentum remains firmly to the upside.