American economy in a ‘Goldilocks-like balance’ while Bitcoin shoots beyond $ 121k

Bitcoin continues his climb in unexplored territory as a set of macro -economic and tax policy measures comes together.

The biggest crypto in Market Cap Zwol on Sunday to a record of $ 121,800, according to Coingecko data.

Singapore company QCP Capital attributed the milestone to “both exuberance and structural strength” in its newest Market note.

Two forces dominate the macro -economic landscape – the rates of President Donald Trump and the dominant tax position of the US.

QCP called it “Just-in-case financing”, because global supply chains continue to load import and production before the expected American rates. This has sustained the growth of trade credit and production growth despite policy uncertainty.

The second aspect is increased Federal Reserve Fund rates and rising treasury interest payments recycled in business and domestic balance sheets.

Together this has created a “Goldilocks-like balance” of enclosed inflation and robust growth for the American markets, QCP.

“The American economy generally looks strong and inflation is generally well enclosed, albeit with any pressure on the top caused by rate,” said Kelvin Koh, co-founder and CIO of Spartan Group, said Decrypt.

The repeated all-time highlights of Bitcoin come as participants turn to risk-on sentiment after this year’s earlier caution, fueled by uncertainty about American trade policy.

From July 14, both Bitcoin and Ethereum ETFs have attracted $ 3.39 billion and $ 1.10 billion in inflow.

“The expectations of the American interest rates in 2025 have fueled a risk-on sentiment, to support the Bitcoin rally as a cover against inflation,” said Ryan Lee, analyst at Bitget Research, said Decrypt Last week.

The breakout of $ 120,000 is perhaps the prologue of the Bitcoin meeting, especially with Treasury payments and tariff uncertainty that acts as in the wind.

“With a strong economy, inflation is not a problem, and the speed reductions are coming, the environment is favorable for risk assets in general,” said Koh.

“For Crypto you have the extra benefit of favorable legal developments in the US, continuous purchases from Treasury companies – that continue to grow every day – and grow institutional participation.”

Steve Gregory, adviser to Crypto Exchange Vtrader, meanwhile said Decrypt There is “an increase in demand for $ 130,000 exercise price Bitcoin calls” on Friday, which emphasizes the possibility of an extensive rally.

Analysts to Decrypt Bitcoin can grind the intended capital inflow in ETFs and a substantial increase in open interest rates.