Bitcoin News Today: Bitcoin Surges 11.3% as U.S.-EU Trade Deal and M2 Growth Signal $130K Target

Bitcoin is showing signs of a potential parabolic surge toward $130,000, according to pseudonymous trader Doctor Profit, who identifies a confluence of technical, macroeconomic, and geopolitical catalysts. The cryptocurrency’s recent breakout above a critical multi-year resistance level, combined with a historic U.S.-EU trade agreement and expanding M2 money supply, has fueled optimism about its next phase of growth [1].

Doctor Profit’s analysis highlights Bitcoin’s clean monthly breakout above a trendline dating back to its 2021 peak. This level had previously resisted advances for four consecutive months (November 2024 to February 2025), making the July retest a significant bullish signal. The trader argues this confirms the start of “the next leg up,” aligning with historical patterns where Bitcoin’s price often mirrors 30%-35% gains for every 1% rise in M2 money supply [1].

The U.S.-EU trade deal, announced by President Donald Trump and European Commission President Ursula von der Leyen on July 27, has further bolstered market sentiment. The agreement includes $750 billion in U.S. energy exports and $600 billion in EU infrastructure investments, measures expected to strengthen equities and indirectly support Bitcoin’s rally. Following the announcement, Bitcoin surged from $114,500 to over $119,000, while BNB hit a record high above $850 [1]. Doctor Profit emphasized the deal’s removal of tariff war fears as a critical long-term tailwind.

Macroeconomic tailwinds are also evident in the U.S. M2 money supply, which has grown 2.3% year-to-date despite the Federal Reserve’s quantitative tightening. May and June saw the most aggressive monthly expansion at +0.63%, reinforcing the bullish backdrop. Historically, such growth has correlated with Bitcoin’s price trajectory, suggesting a potential 15%-17.5% rally if the trend continues [1].

Current on-chain data supports a broader bull case. Bitcoin’s 30-day gain of 11.3% and annual rise of 75.6% highlight its resilience, even as short-term momentum lags Ethereum and altcoins. ETF inflows, particularly from BlackRock, remain a steady absorption force for newly mined Bitcoin, creating structural demand. With the Fed’s upcoming FOMC decision expected to maintain accommodative policy, liquidity expansion could further fuel price gains [1].

At $119,389 as of the latest update, Bitcoin reflects a 0.9% 24-hour gain and 0.7% weekly increase. While immediate volatility remains, the alignment of technical, macro, and geopolitical factors suggests a strong case for the $130,000 target—provided historical correlations hold and external risks remain contained [1].

Source: [1] [Bitcoin Eyes $130K: Breakout, Trade Deal, and M2 Growth Signal Next Leg Up] [https://coinmarketcap.com/community/articles/6887be143c1f324d51533053/]