Bitcoin News Today: Bitcoin Surges Past $118K as U.S. Policy Shifts and Geopolitical Tensions Ease

Bitcoin surged past $118,000 amid a cooling of global geopolitical tensions and a shift in U.S. regulatory policy toward cryptocurrency, signaling renewed optimism among investors [1]. On August 8, 2025, Bitcoin (BTC) traded near $116,000, with the broader crypto market rebounding as Ethereum (ETH) approached $4,000 and altcoins showing signs of strength [2]. A key development contributing to the rally was U.S. President Donald Trump’s executive order permitting the inclusion of cryptocurrencies and alternative assets in retirement accounts, such as 401(k)s [3]. This move marked a significant step toward mainstream adoption and triggered a surge in crypto-linked equities and digital assets. The policy shift has intensified competition between traditional financial institutions and emerging crypto firms, with Wall Street preparing for potential changes in asset allocation strategies [4].

The easing of tensions over Russia-related conflicts and reduced friction in international trade contributed to the positive momentum [5]. However, analysts remain cautious, noting that Bitcoin is currently caught between key resistance levels of $112,000 and $120,000 [6]. According to an FxPro analyst, stronger macroeconomic signals or policy developments are likely needed to break through this range [7]. In the short term, investors are advised to monitor the impact of U.S. Federal Reserve policy and global trade dynamics, both of which remain major volatility drivers in the crypto market [8].

Market sentiment remains cautiously optimistic. As of August 9, the total crypto market cap surpassed $3.87 trillion, with Bitcoin maintaining a dominance of 60.2% of the market. Ethereum outperformed Bitcoin during the week, rising by 6.55%, which suggests a possible shift in momentum among altcoins [9]. Nevertheless, recent fluctuations in emerging-market assets and renewed trade tensions elsewhere have acted as a dampener, highlighting the still-developing nature of the crypto asset class [10].

Looking ahead, several catalysts could shape Bitcoin’s trajectory in the coming weeks. These include further regulatory developments in the U.S., especially around stablecoins and digital asset legislation, as well as global macroeconomic data and potential trade updates [11]. Analysts have emphasized that while the current environment is favorable, volatility remains a key characteristic of the market. Investors are advised to remain informed and agile as the crypto landscape continues to evolve rapidly [12].

[1] Bitcoin Surges as Tensions Ease and Economic Data Loom (https://en.coin-turk.com/bitcoin-surges-as-tensions-ease-and-economic-data-loom/)

[2] Bitcoin and Crypto Stocks Climb as Trump Opens 401(k) (https://m.fastbull.com/news-detail/bitcoin-and-crypto-stocks-climb-as-trump-opens-4338921_0)

[3] Trump's crypto embrace opens the door to a Wall Street overhaul (https://subscriber.politicopro.com/article/2025/08/trumps-crypto-embrace-opens-the-door-to-a-wall-street-overhaul-00499464)

[4] Trump opens retirement plans to crypto and private equity (https://www.equiti.com/sc-en/news/crypto-hub/trump-opens-retirement-plans-to-crypto-and-private-equity-reshaping-us-401k-landscape/)

[5] Bitcoin News Today: Crypto Market Surpasses $3.87T as Altcoins Surge (https://www.ainvest.com/news/bitcoin-news-today-crypto-market-surpasses-3-87t-altcoins-eth-surge-2508/)

[6] Market Deep Dive: Shakeouts & Setups (https://www.crypto-finance.com/market-deep-dive-shakeouts-setups/)

[7] These three catalysts will help Bitcoin break $122K (https://www.bitget.com/news/detail/12560604903684)

[9] What's Next for Crypto: Digital Asset Policy and Politics in the U.S. (https://subscriber.politicopro.com/article/2025/08/whats-next-for-crypto-digital-asset-policy-and-politics-in-the-u-s-00499598)

[10] Emerging Assets Slip on Renewed Trade Tensions (https://www.bloomberg.com/news/articles/2025-08-08/emerging-market-asset-rally-stalls-as-trade-tensions-resurface)