Bitcoin Sets New All-Time High Above $120K as Markets Await U.S. Inflation Data

Bitcoin has shattered previous records, soaring past the $120,000 mark for the first time ever and bringing its year-to-date gains to 28%.

As of midday trading in Hong Kong, Bitcoin (BTC) was holding above $121,000, according to data from CoinDesk.

This breakout comes in the wake of President Donald Trump’s recent announcement imposing a 30% tariff on imports from the European Union and Mexico, effective August 1. The move has added volatility to markets but ultimately resolved nearly two days of choppy price action, allowing overbought short-term indicators to reset and turn bullish again.

Attention now turns to upcoming U.S. inflation figures due this week. Economists polled by FactSet anticipate the Consumer Price Index (CPI) for June will show a 0.25% month-over-month increase, translating to an annual rate of 2.6%. Core CPI, which strips out volatile food and energy costs, is projected to rise 0.3% on the month and 3% annually.

A hotter-than-expected inflation print could inject some uncertainty into risk assets like Bitcoin, potentially postponing any interest rate cuts by the Federal Reserve. Still, any downside for BTC may be cushioned by sustained institutional adoption, strong ETF inflows, and a generally favorable regulatory climate in the U.S.

John Glover, CEO of Ledn, believes Bitcoin’s rally is far from over and sees prices heading even higher.

“We’ve finally broken to new highs, confirming that the dip to $96,000 in late June completed the wave (ii) pullback within the larger Wave 5,” Glover explained in an email.

“Although my previous target for around $136,000 was expected in Q1 2026, this breakout likely accelerates the timeline. Now, it looks possible we’ll reach $136,000 before the end of this year,” he added.