Trump’s 401(k) Order and SEC Guidance Propel Bitcoin to $120K
Bitcoin rallied past $120,600 after former President Trump issued an executive order allowing 401(k) plans to invest in cryptocurrencies. This built on earlier SEC guidance that clarified compliance standards and spurred institutional inflows, with major asset managers filing for spot Bitcoin ETFs. Trading volume on spot exchanges jumped 20% week-on-week and futures open interest rose amid growing market optimism. Federal Reserve remarks supporting a July rate cut and positive stablecoin regulation talk weighed on the US dollar, further boosting digital assets. Analysts expect short-term consolidation but remain bullish medium-term, driven by ETF prospects, clearer rules and fresh institutional capital. Traders should monitor ETF developments, 401(k) implementations and regulatory updates for strategic entry points.
Bullish
The combined news of Trump’s 401(k) executive order and the SEC’s clearer crypto policy creates a powerful bullish catalyst for Bitcoin. Allowing 401(k) plans to allocate up to $9 trillion in institutional capital directly targets a new investor base. Meanwhile, SEC guidance reduces compliance uncertainty and accelerates spot ETF filings. Rising trading volumes and open interest confirm strong buying momentum. Positive stablecoin regulation comments and the prospect of a Fed rate cut weaken the US dollar, further supporting crypto demand. Short-term consolidation may occur, but medium-term fundamentals point to sustained price appreciation.