Bitcoin price could potentially reach $135,000 in August if current pattern continues
Bitcoin (BTC) has seen a resurgence in bullish momentum, breaking past $114,000 and sparking optimism for a potential $120,000 breakout in August. With indicators showing increased accumulation and positive technical signals, market participants are watching closely to see if Bitcoin can maintain its upward trajectory.
As of August 5, Bitcoin is trading around $114,360, with a market capitalization of $2.27 trillion and a daily trading volume of $54.39 billion. Despite a slight intraday dip, overall technical analysis indicates that Bitcoin is showing resilience and attempting to regain bullish momentum.
Recent data suggests that Bitcoin bounced off its 50-day simple moving average, rising nearly 1% during the mid-New York session on Monday. Analysts are eyeing a potential breakout above $115,000, which could lead to a test of the all-time high near $122,296 reached in mid-July. However, there is a possibility of a short-term pullback to the $110,000–$112,000 range before another move towards $124,000.
Market sentiment is being influenced by growing optimism surrounding macroeconomic policies, with expectations of a Federal Reserve interest rate cut by September. This optimism is driving interest in Bitcoin as an inflation hedge, particularly as historical trends suggest that Bitcoin tends to rally ahead of such announcements.
Institutional accumulation is also on the rise, with companies like The Smarter Web Company adding to their Bitcoin holdings. Overall, Bitcoin treasury holdings have seen a 4.4% increase in the last 30 days, with over 160,000 BTC accumulated during the same period. This trend indicates growing confidence in Bitcoin as a long-term investment and hedge against economic instability.
Despite short-term fluctuations, long-term investors appear confident in Bitcoin’s future trajectory. On-chain data suggests increased activity from large entities and whale addresses from the Satoshi era. This behavior reinforces the narrative that Bitcoin is viewed as a reliable hedge against inflation and economic uncertainty by institutional investors.
Looking ahead, August could prove to be a crucial month for Bitcoin, with potential price targets of $124,000 and even $135,000 if current patterns hold. While volatility is to be expected, analysts remain optimistic about Bitcoin’s long-term outlook, especially with institutional interest and positive market indicators in play.
