Bitcoin Back Above $120K as Clear Crypto Policy ‘Invites’ Capital, Institutions

Key Points

1. Bitcoin reclaimed the $120,000 mark after a brief pullback to $114,000, with institutional flows and ETF inflows contributing to the recovery.

2. U.S. equities, which had been tracking Bitcoin's rise, have stalled since early July, potentially signaling market exhaustion.

3. Regulatory developments, such as the U.S. House passing the GENIUS Act, indicate growing political engagement with crypto, which could attract more capital.

4. Analysts note that fresh liquidity is supporting Bitcoin's upward trend, though upcoming economic data (e.g., jobless claims) could impact market sentiment.

5. Despite positive momentum, risks such as inflation expectations, geopolitical tensions, and potential rate hikes remain concerns for the market.