Bitcoin Price Prediction: The New U.S. Cryptocurrency Law Could Push $BTC Up to 200,000 USD

Bitcoin has recently surged above $103,000, marking an important milestone as US President Donald Trump hinted at a potential trade deal with the United Kingdom. The digital asset, currently trading around $103,800, skyrocketed after Trump’s post on Truth Social suggested that the general 10% tariff on all imports could be lifted. This news has sparked optimism among investors, pushing the Dow up 500 points and raising the S&P 500 by 1.47%. This breakthrough is significant, as the $100,000 mark represents an important psychological level for traders. According to renowned market analyst Macroscope, maintaining support above $103,000 is essential to sustain the current bullish trend.

The prospect of numerous trade agreements, combined with ongoing negotiations between the United States and China in Switzerland on May 10, has further strengthened the outlook for Bitcoin. The United States Accepts Bitcoin Reserves In addition to trade news, the rise of Bitcoin is also driven by state-level cryptocurrency laws. On May 8, the Missouri legislature passed Bill 594, eliminating all capital gains taxes on BTC. This move comes after similar actions by other countries, allowing them to establish strategic BTC reserves - an important step towards broader adoption of digital assets. In addition, the Office of the Comptroller of the Currency (OCC) confirmed on May 7 that banks under its jurisdiction can now trade cryptocurrency on behalf of customers. This move allows banks to provide custody services and outsource cryptocurrency transactions, thereby integrating BTC into the traditional financial system. The Support of the Organization to Promote Long-Term Demand The institutional context for BTC is also rapidly developing. The inflow of funds into BTC ETFs has surged, reflecting the increasing interest from large-scale investors. Major corporations are increasing their BTC holdings, viewing it as a hedge against inflation and economic instability. At the end of March, the FDIC issued guidance allowing banks to hold cryptocurrency assets and provide a range of related services to customers, reinforcing Bitcoin’s position as a mainstream financial asset. Bitcoin Aiming for 105,300 USD as Bulls Hold Support at 102,500 USD Bitcoin (BTC/USD) is trading around the level of $103,375, surpassing the important Fibonacci extension level of 1.618 at $100,756, signaling strong bullish momentum. The immediate next resistance level is the Fibonacci level 2.272 at $103,743, followed by the important extension level 2.618 at $105,325. These levels represent potential bullish targets if the upward momentum continues.

However, the current price increase has pushed the MACD into the overbought zone, indicating a short-term retracement risk. If the price drops, the immediate support level is at the Fibonacci 2.0 level of $102.501, closely aligned with the recent breakout zone. Breaking this level could cause Bitcoin to undergo a deeper correction, with the next support level being around 99,824 dollars. Set up trading: Buy at: $102,500Take profit: $105,300Stop loss: $100,750 Strategy: Consider buying when the price is above $102,500, aiming for an extension level of 2.618 at $105,300, while setting a tight stop loss when the price is below $100,750 to manage downside risk.