Bitcoin is once again making headlines, surging toward its all-time high of $123,000. The flagship cryptocurrency recently crossed $121,000, marking an impressive 10% gain in August alone and fueling speculation of an even more dramatic rally in the weeks to come.
This bullish momentum is being driven by a perfect storm of factors — from Wall Street sentiment to moves by the Federal Reserve and policy signals from Donald Trump’s administration — all setting the stage for a potentially explosive end to 2025.
Trump’s $12.2 Trillion Crypto Push Sparks Market Buzz
Earlier this week, U.S. President Donald Trump unveiled a massive $12.2 trillion bitcoin and crypto initiative, sending shockwaves through the digital asset market. Investors are now closely watching major bitcoin treasury companies and the release of critical U.S. inflation data, which could strongly influence Federal Reserve interest rate decisions.
David Bailey, a key Trump bitcoin advisor and the CEO of Nakamoto, described the coming days as “a big week” on X (formerly Twitter). His company is set to join the growing list of corporate giants purchasing hundreds of millions of dollars’ worth of bitcoin, echoing the strategy pioneered by Michael Saylor’s Strategy.
Corporate Bitcoin Buys Fuel the Rally
Michael Saylor’s Strategy recently added nearly $2.5 billion worth of bitcoin to its holdings, now controlling almost 3% of the total 21 million BTC supply — valued at $76 billion. Reports suggest Strategy could announce another massive acquisition this week, further tightening bitcoin’s supply and adding upward pressure to prices.
All Eyes on U.S. Inflation Data and Fed Rate Cuts
This week’s Consumer Price Index (CPI) report is a crucial event for crypto and equity markets alike. A softer CPI reading could all but seal the deal for a Federal Reserve interest rate cut in September, which traders currently estimate has a 90% probability according to CME’s FedWatch Tool.
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Lower interest rates typically favor risk-on assets like bitcoin, cryptocurrencies, and tech stocks, creating an environment where digital assets could extend their gains through the year.
With policy shifts, corporate accumulation, and macroeconomic tailwinds converging, bitcoin’s path to new record highs may be closer than ever.
