Bitcoin News Today: Bitcoin's $200K Path? 401(k) Access and Fed Cuts Could Fuel It.

Bitwise, a leading cryptocurrency asset manager, has announced a new bullish forecast for Bitcoin, projecting the asset could reach $200,000 by the end of the year. The prediction follows the signing of a new executive order by U.S. President Donald Trump on August 7, which allows cryptocurrencies to be included in 401(k) retirement plans, a development that analysts at Bitwise consider to be a pivotal moment for Bitcoin adoption. André Dragosch, head of European research at Bitwise, emphasized that this move could unlock billions of dollars in new capital flows into Bitcoin.

The U.S. retirement market has assets totaling $12.2 trillion, and even a modest 1% allocation to cryptocurrencies could generate $122 billion in new inflows. According to a Bitwise survey of retirement portfolio advisors, many recommend a 2.5% or 3% Bitcoin allocation for retirement plans, which suggests the potential for even greater capital injections than the initial 1% estimate. Dragosch also noted that the timing of the first inflows could coincide with the anticipated rate cut by the U.S. Federal Reserve in the fall, which might further catalyze Bitcoin’s price movement.

This executive action is seen as a potentially more significant development than the approval of a spot Bitcoin ETF in January 2024. Dragosch stated that allowing access to cryptocurrencies within U.S. retirement plans could represent a larger milestone for Bitcoin than the ETF approval itself. The inclusion of digital assets in retirement portfolios also means that 401(k) managers will be able to invest in Bitcoin ETFs, potentially pushing the asset to new highs. Dragosch reiterated that under the right conditions, including a rate cut by the Fed, the $200,000 price target could be achievable.

The economic incentives for major retirement plan providers such as BlackRock and Fidelity to include Bitcoin ETFs in their standard offerings are substantial. BlackRock’s iShares Bitcoin Trust has over $84 billion in assets under management, representing 57.5% of the total market share, while Fidelity’s ETF holds $22.4 billion, or 15.3% of the market. These figures highlight the potential scale of capital that could flow into the Bitcoin market through retirement plan investments.

Further reinforcing the potential impact of these developments, U.S. Treasury Secretary Scott Bessent recently indicated that the Federal Reserve could cut interest rates by 50 basis points in September. This move would mirror the surprise 2024 rate cut that contributed to a significant surge in Bitcoin’s price. If the Fed’s rate cuts coincide with increased Bitcoin adoption through retirement plans, the combined effect could drive the price toward the $200,000 threshold. This aligns with broader macroeconomic trends supporting risk assets, with U.S. equities nearing record highs and expectations of continued rate cuts reinforcing bullish market sentiment.

Source: [1] Bitwise Releases New Bullish Forecast! This Event Is Even More Important Than Spot ETFs! It Will Push Bitcoin to $200,000! (https://en.bitcoinsistemi.com/bitwise-releases-new-bullish-forecast-this-event-is-even-more-important-than-spot-etfs-it-will-push-bitcoin-to-200000/) [2] 401(k) Crypto Retirement plans 'bigger' than Bitcoin ETF (https://cointelegraph.com/news/401-k-crypto-retirement-plans-bitcoin-etf-analyst) [3] Bitcoin (BTC) Price Prediction: In Precarious Position (https://www.coindesk.com/markets/2025/08/18/btc-in-precarious-position-as-prices-penetrate-bullish-trendline) [4] Treasury Secretary Issues Surprise September Fed (https://www.forbes.com/sites/digital-assets/2025/08/16/treasury-secretary-reveals-us-bitcoin-surprise-triggering-price-shockwaves/)