Bitcoin Surges 2.49% to $105,505 as Japan Moves to Cut Crypto Taxes

Bitcoin experienced a significant surge, rising by 2.49% during the US trading session, reaching $105,505. This upward movement was driven by several key developments that shifted global crypto sentiment to a bullish tone. One of the primary catalysts was the proposal by Japan’s Financial Services Agency to reclassify digital assets under the Financial Instruments and Exchange Act. This regulatory change could potentially reduce crypto taxes from 55% to 20% and pave the way for spot ETFs, marking a substantial shift in Asia’s second-largest economy. Japan, with over 12 million active users and ¥5 trillion in assets, is actively promoting crypto adoption as part of its “New Capitalism” policy, which aims to attract investment and foster innovation.

Another significant development was the announcement of USDB, a fully dollar-backed stablecoin built natively on Bitcoin’s Layer 2, Spark protocol. Unlike synthetic or bridged tokens, USDB is issued by a licensed U.S. financial institution and backed 1:1 by Treasury bills. This launch is expected to enhance Bitcoin’s DeFi potential by integrating with Magic Eden, Bitcoin’s largest NFT/DeFi hub. The integration will enable native BTC-to-stablecoin trading pairs, on-chain liquidity pools on Spark, and dollar-based treasury and savings tools. The launch, scheduled for late summer, is seen as a pivotal step in Bitcoin’s evolution from digital gold to a programmable financial layer, further boosting its network utility and DeFi scalability.

Additionally, reports surfaced that Donald Trump is drafting an executive order to prevent banks from denying services to crypto firms. This move directly challenges what critics call “Operation Chokepoint 2.0” under the Biden administration, which allegedly restricted over 30 digital asset companies from U.S. banking services. The crypto market welcomed this stance as a step toward banking access and legal clarity, although legal experts caution that regulatory uncertainty may linger until 2026. Bitcoin rose 1.3% following the policy leak, reflecting market anticipation of more inclusive financial rules if Trump returns to office.

On the technical front, the Bitcoin price prediction remains bullish. However, BTC must surpass the major hurdle around $106,539 to continue its upward trajectory. BTC is currently pressing against a descending trendline resistance at $106,539, a level that has rejected advances since early June. Technical indicators such as the 50-EMA, MACD, and price structure suggest a bullish outlook, with higher lows and no bearish candles. A breakout above $106,539 could target $109,041 and $110,522, while a pullback to $104,723 with bullish reversal patterns could present a buying opportunity. With bullish catalysts stacking and momentum firming, Bitcoin appears poised to test and potentially break through key resistance, reigniting the path toward $109K and beyond.

Furthermore, Bitcoin Hyper ($HYPER) has surpassed the $1.5 million milestone in its public presale, raising $1,566,427 out of a $1,763,403 target. As the first Bitcoin-native Layer 2 powered by the Solana Virtual Machine (SVM), Bitcoin Hyper delivers fast, low-cost smart contracts to the BTC network. It combines Bitcoin’s security with SVM’s scalability, enabling high-speed dApps, meme coins, and payments—all with ultra-low gas fees and seamless BTC bridging. Audited by Consult, Bitcoin Hyper is built for trust, scale, and performance, with over 91 million $HYPER already staked and projected post-launch staking rewards of up to 577% APY. The presale accepts both crypto and cards, and through Web3Payments, no wallet is required, making it a potential breakout star of 2025.