Bitcoin Price Braces for a Surge as Trump Executive Order Brings a $9 Trillion Catalyst

Bitcoin price rose by 1.4% today, August 7, helped by numerous catalysts from the United States. BTC jumped to $116,000, with the 24-hour volume soaring to $61 billion. It has formed several highly bullish patterns, pointing to more gains, potentially to the all-time high.

Bitcoin Price to Surge as a $9 trillion tailwind emerge

One of the top drivers for Bitcoin price is that President Donald Trump will sign an important executive order on crypto. This document will make it possible and easy for retirement funds to invest in digital assets like Bitcoin, Ethereum, and XRP. 

This is a major decision as these funds currently hold trillions of dollars in assets. The estimate is that these funds holds over $9 trillion in assets spread across assets like gold, bonds, and stocks. 

Not all the $9 trillion will be invested in Bitcoin. However, even a rotation of just 0.5% of these assets to Bitcoin would be a big windfall worth about $45 billion. 

The announcement comes as the BTC price has other catalysts. For example, the cumulative inlows into spot Bitcoin ETFs since inception in 2024 is over $55 billion. 

Bitcoin price is also benefiting from the ongoing treasury wave that has seen over 100 companies allocate 961,760 coins worth $112 billion into Bitcoin. More firms have allocated funds to other cryptocurrencies like Solana, Ethereum, and Binance Coin. 

Further, economists believe that the Federal Reserve will start to change its tune on interest rates after the weak non-farm payrolls (NFP) data released last Friday. Companies added just 73,000 workers, a figure that will likely be revised downwards. 

Per Polymarket, the possibility that the FOMC will slash rates next month have jumped to 79%. Some Fed officials like Lisa Cook, Neel Kashkari, and Christopher Waller have signaled that they are supportive of cuts to prevent further downturn.

Bitcoin Price Eyes $123,000 and above

The 12-hour timeframe reveals that BTC has formed a few chart patterns that will trigger more gains this month. For example, the coin formed an ascending triangle pattern, which is made up of a horizontal resistance and a diagonal trendline. In this case, the resistance is at $111,822, its highest level in May. 

Bitcoin price has also created a bullish flag pattern. This pattern is made up of a flagpole and a descending channel. It usually leads to more gains, which will likely happen now that it has retested the support at $111,822. A breach and revisit often leads to more rally.

The other bullish Bitcoin price catalyst is that it has remained above the rising trendline that connects the lower lows since April. It is also being supported by the 100-period moving averages. 

Therefore, the most likely BTC price forecast 2025 is positive. The first price target will be the psychological point at $120,000 followed by the all-time high of $123,118. 

However, a drop below the key support at $111,000 will cancel the bullish Bitcoin outlook and point to more downside..

crispus

Crispus is a seasoned Financial Analyst at CoinGape with over 12 years of experience. He focuses on Bitcoin and other altcoins, covering the intersection of news and analysis. His insights have been featured on renowned platforms such as BanklessTimes, CoinJournal, HypeIndex, SeekingAlpha, Forbes, InvestingCube, Investing.com, and MoneyTransfers.com.

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