Bitcoin Price Prediction: Will $BTC Reach 120,000 USD By July?

Bitcoin has surged to $110,000 after being shorted by $110 million, but Ethereum remains stuck around $2,600. With Trump's enticing "Beautiful Bill" about to become law, the cancellation of China's chip tax and increasing pressure forcing Fed Chair Jerome Powell to resign, the crypto market may be on the brink of its next parabolic move. Is $120,000 for BTC realistic this month—and will ETH follow? A perfect political storm for Crypto The beginning of July started with BTC rising above $110,000 during the second major sell-off of 2025. Meanwhile, ETH seems unable to break through $2,600. The context is not only the hype about the chart pattern but also an unprecedented combination of: An important bill from the United States (The "One Big Beautiful" bill ) is moving toward Trump's deskElon Musk's public rebellion against that billA new détente between the U.S. and China after Washington lifted the restrictions on chip software exportsTrump's demand that Jerome Powell "resign immediately" raises the prospect of a completely different FedThe dual Bitcoin-Ether ETF filing (75% BTC / 25% ETH) from Trump Media & Technology Group is currently being transferred to NYSE Arca Overall, the macro political story can be as important as the hash rate or the moving average. 1 | 110 million dollars in BTC short sell orders have evaporated More than 110 million dollars in short positions were liquidated within an hour as BTC surpassed the $109,000 mark. Liquidations often occur in a "forced buy" manner, converting bearish leverage into spot demand—one reason why the bulls see the next target as $112,000–$116,000. 2 | Inside "One Big Beautiful Bill" (OBBBA) Scale & Scope: Approximately $3.3 trillion in tax cuts, military spending, and border security spending, offset by deep cuts to healthcare and green energy programs. A perspective on cryptocurrency: Provisions in the bill directing the Department of the Treasury to modernize payment laws and establish the U.S. Strategic Bitcoin Reserve Fund. Status: The bill has been passed by the Senate, and the House is expected to finalize it and send it to President Trump on July 4. The Musk Rebellion Elon Musk called this bill "completely insane and destructive," warning that it will kill millions of future tech jobs and cause the budget deficit to soar. He even threatened to support challengers against the Republican bill's supporters. Market impact: If the bill is signed, speculators expect the "money printer will BRR" narrative to push Bitcoin higher. Musk's lobbying efforts may delay or soften the climate reversal provisions of the bill—crucial for sustainable tokens linked to ETH. 3 | China Chip-Tax Rollback – Why Crypto is Interested The United States has officially lifted the export restrictions on advanced chip design software to China. This move is a significant victory for global technology cooperation and particularly beneficial for the companies behind Bitcoin mining infrastructure.

This recovery reduces the risk of supply chain disruptions and helps maintain stable mining costs, which is a price-driving factor for the long-term sustainability of Bitcoin prices. 4 | Powell on the hot seat Trump directly called for Federal Reserve Chairman Jerome Powell to resign, calling him "too late" to act on inflation and accusing him of harming the economy. Powell's potential resignation could signal a shift towards lower interest rates and a more accommodative monetary policy—both of which are positive moves for the crypto market.

Impact of the scenario: If Powell remains unchanged → slower rate cuts → neutral to slightly pessimistic. If Powell leaves and a cryptocurrency supporter or moderate is appointed as a replacement → BTC and ETH will surge. 5 | ETH – Still lagging behind, but ETFs are gaining momentum. Despite Bitcoin's dominance, Ethereum is still trading around $2,600. However, the upward momentum could increase as Trump Media's dual Bitcoin-Ethereum ETF filing is underway. The proposed allocation structure allocates 75% to BTC and 25% to ETH, which is likely to drive institutional capital into Ethereum after approval. If Powell leaves or if the ETF gets the green light, ETH could welcome a second wave that helps close the performance gap between BTC/ETH. Bitcoin price prediction – Can BTC reach 120,000 USD by July?

Support for BTC is at $107K, with $103K being a deeper level. A breakdown below $101K signals a false breakout. Ethereum Price Prediction – Will it finally go in the Shotgun direction?

Breaking above the $2,950 level could accelerate the rally towards $3,200. Conclusion: Politics is the new Hash-Rate Bitcoin's breakthrough above $110,000 is not just a technical story — it is a geopolitical transaction concerning law, central banking, and global cooperation. If Trump's bill is signed and Powell resigns, the market could enter a "risk" mode, pushing BTC to $120,000 this July. Ethereum lagged behind today but has a good position to follow, especially with the dual asset ETF and changing monetary policy coming up. In summary, July could be the month where politics drives the crypto market to reach the next milestone.