Bitcoin Price Prediction: Bitcoin Tops $75,000, Will the Price Continue to Rise?

TradingKey - As of the Asian session on August 21, Bitcoin (BTC) price briefly surged past $75,000 intraday, reaching a daily high of $75,897.34, with its weekly cumulative gain exceeding 20%, marking the largest single-week gain in nearly two and a half years. Having previously fluctuated within the $60,000–$66,000 range, Bitcoin has now successively broken through the $66,000, $70,000, and $75,000 thresholds, reflecting a marked improvement in market risk appetite and capital flows.

Why Is Bitcoin Price Rising?

From a fundamental perspective, this round of rapid gains in Bitcoin was primarily driven by changes in the US bond market.

Recently, long-term US Treasury bonds experienced a massive sell-off, after which the US Department of the Treasury announced an expansion of long-term Treasury buybacks in hopes of improving market liquidity and stabilizing the bond market. This policy temporarily drove long-end Treasury yields lower, while the US dollar posted a cumulative decline of approximately 0.9% this week, approaching a three-month low. For Bitcoin, a weakening US dollar and an improved liquidity environment are typically favorable for risk asset valuations and served as a major catalyst for BTC breaking above $70,000 in this round.

The second major catalyst comes from US cryptocurrency regulation. Trump recently urged Congress again to advance the CLARITY Act, which could further clarify whether digital assets are securities or commodities and establish a clearer regulatory framework. The market believes that if the relevant legislation moves forward, it will reduce long-standing regulatory uncertainty in the US crypto industry. Driven by this, as Bitcoin broke above $70,000, crypto-related stocks such as Coinbase and Strategy also rose noticeably.

Capital flows have also shown improvement. US spot Bitcoin ETFs recorded a net inflow of approximately $517 million on August 19, marking the largest single-day inflow since early May and signaling that institutional capital is re-entering the Bitcoin market. Previously, persistent capital volatility in ETFs had been a major constraint on BTC's rebound; if ETFs can maintain consecutive net inflows going forward, it will help reinforce the sustainability of this rally.

However, it is worth noting that Bitcoin's short-term gains have been rapid, and risks are also rising. Bitcoin has swiftly surged from near $63,000 to $75,000 within five trading days, gaining over 20% this week, implying that short covering and leveraged capital may have amplified the move. Should US Treasury yields rise again, the US dollar rebound, or ETF flows turn negative once more, Bitcoin could experience noticeable profit-taking.

Bitcoin Price Technical Analysis

Bitcoin price weekly chart, Source: TradingView

Based on Bitcoin's weekly chart, Bitcoin first broke through the upper bound of the $60,000-$66,000 consolidation range this week and then breached the $70,000 mark, signaling an upside breakout from the multi-week consolidation platform. The recent rally, accompanied by increased trading volume and short covering, further reinforces the breakout signal. Bullish market momentum has strengthened significantly, and prices may continue to rise in the short term.

Currently, the primary overhead resistance level to watch for Bitcoin is the $80,000 mark. If Bitcoin breaks out strongly and holds firm above this level, it will further test $83,000 to the upside, with the next resistance at the SMA60 moving average near $87,000. If Bitcoin's price can effectively overcome the suppression of the SMA60, the year-to-date bearish trend may be reversed.

On the downside, the primary support level to watch below is the $70,000 mark. If this level fails to hold, Bitcoin may test $66,000 to the downside.