Trump Tariff Delay Boosts Bitcoin Price Outlook to 120,000

Bitcoin (BTC) enthusiasts may have found an unexpected ally in President Donald Trump’s recent decision to delay controversial trade tariffs. This move has sparked optimism among cryptocurrency analysts, who believe it could catalyze a significant surge in Bitcoin’s price.

Cryptocurrency analyst Ted Pillows has noted that Bitcoin’s recent price movements align with a Wyckoff accumulation pattern. This pattern suggests that institutional buyers are quietly absorbing supply, which could lead to a substantial price increase in the coming weeks. According to Pillows, Bitcoin’s BTC/M2 ratio is nearing the end of its accumulation phase, indicating that the available liquidity is increasing, providing more capital for investors to deploy into assets like Bitcoin.

By comparing Bitcoin’s price to the M2 money supply, analysts can assess its value relative to the circulating money. A strong BTC/M2 ratio can indicate that Bitcoin is undervalued compared to the money in the system. Pillows’ analysis shows that the BTC/M2 chart is completing a Wyckoff accumulation phase, where institutional buyers quietly absorb supply before driving prices higher.

Over the weekend, Bitcoin experienced a sharp pullback but quickly rebounded, matching the Wyckoff pattern’s typical “spring” phase before a strong move up. This rebound aligns with the bullish outlook, suggesting that the price could surge toward $120,000 in the coming weeks.

Trump’s tariff decision is central to this bullish outlook. By threatening higher tariffs but delaying them until August 1, the administration has given markets a short-term reprieve from trade uncertainty. This reprieve could support a move higher for Bitcoin, as reduced trade tensions lower the risk of an economic slowdown and support risk assets, such as equities and cryptocurrencies.

Pillows’ analysis indicated that the accumulation phase started around $105,000 to $108,000, with a Wyckoff target near $125,000. Meanwhile, another bullish outlook came from analyst TradingShot, who noted that Bitcoin is testing short-term support at its four-hour 50-period moving average (MA50) after forming a golden cross. The analyst sees similarities to May’s rally, with nearly identical gains from recent lows, and matching four-hour RSI patterns.

If this fractal continues, Bitcoin could target the 1.5 Fibonacci extension level around $117,000 in the near term. At the time of reporting, Bitcoin was trading at $108,263, having experienced a modest 0.5% pullback over the last 24 hours, while it was down 1% for the week.