Bitcoin Price Prediction: BTC Eyes $120K as Macro Factors Align

Highlights:

• Bitcoin price is trending towards the $113,289 resistance with rising volumes 
• A push through $113,289 could send Bitcoin to over $120k
• An improving macro environment supports a rising demand for Bitcoin

Bitcoin (BTC) is in the green today and is leading the market in a rebound. At the time of writing, Bitcoin was up by 2.56% to trade at $110,785.66. Bitcoin trading volumes are also on the rise during the day. At press time, Bitcoin trading volumes were up by 61.69% to stand at $58.89 billion. 

This is a positive indicator that capital is flowing into Bitcoin after the selloff on October 10. Stocks are on the rise as well, which points to investor confidence that the worst of Trump’s China tariff threat is over. Besides the resurgence across the broader financial landscape, there are a couple of other factors that support a continuation of the ongoing uptrend for Bitcoin.

Japan Set to Allow Bank Ownership of Bitcoin

One of them is the improving regulatory outlook for the cryptocurrency industry. The US has been at the forefront of these improvements. For the better part of this year, the US has come up with a couple of regulations and laws that have made it easier for institutions to buy and hold cryptocurrencies. Other countries are now following America’s lead. Recently, the UK announced that it was making regulatory changes that would make it easier for cryptocurrency exchanges to operate in the country. The latest to make a move is Japan. 

The latest news from Japan is that the government is looking into making it possible for banks to hold Bitcoin and other cryptocurrencies. This would make it possible for a bank to hold cryptocurrency the same way they do with stocks and bonds. This is a big deal for Bitcoin because it has so far emerged as the favorite cryptocurrency for institutions globally.

As such, such a regulation in Japan could trigger an upsurge in the number of Banks adding Bitcoin to their balance sheets. Due to Bitcoin’s low supply, such a move could trigger a Bitcoin rally to new highs going into the future.

BUG BREAKING 🇯🇵

JAPAN'S IS REPORTEDLY CONSIDERING A REFORM TO ALLOW BANKS TO BUY, SELL, AND HOLD #BITCOIN FOR INVESTMENT PURPOSES

MASSIVE 🔥 pic.twitter.com/I6ofipajbi

— BITCOINLFG® (@bitcoinlfgo) October 20, 2025

Expectations of More Rate Cuts Sending Bitcoin Higher

Besides an improving regulatory environment, Bitcoin is also set to benefit from expectations of an interest rate cut. There is a growing expectation that another rate cut or two could happen before the end of the year. This is a big deal for Bitcoin because it would trigger an inflow of cheap liquidity into the cryptocurrency market.

Since Bitcoin is the largest and most favored cryptocurrency by institutions, a rate cut could see its price rally to new highs within the year. It explains why, as the expectations around a cut grow stronger, the price of Bitcoin is starting to go up.

Experts say there’s room for rates to come down even more over the next year. And one of the leading indicators to watch is the 10-year treasury yield. Here’s why. #kcmbloghttps://t.co/MEYz34gEYb

— The KCM Crew (@KCMcrew) October 20, 2025

BlackRock Set to Launch Bitcoin ETP In the UK

Outside of the macro expectations, Bitcoin’s price is getting a boost from the growing through already established institutional avenues. For instance, institutional demand for Bitcoin is rising through ETFs in the US as inflows continue to increase.

Similar moves are happening globally. In the UK, BlackRock is launching a Bitcoin ETP that is targeted at retail money. This is a big deal as it could make it easier for conservative investors looking to make a position in cryptocurrencies. Such could trigger a price rally long-term as the amount of Bitcoin available in circulation is shrinking.

🇬🇧 $13 TRILLION BLACKROCK JUST ANNOUNCED TO LAUNCH A #BITCOIN ETP IN THE UK TODAY.

HERE WE GO 🚀 pic.twitter.com/VWDTDS9Nbh

— Vivek Sen (@Vivek4real_) October 20, 2025

Technical Analysis – Bitcoin Price Pushing Towards Resistance

Bitcoin continues its slow multi-day push towards the $113,289 resistance. If bulls take control and push Bitcoin through the $113,289 resistance, a rally to $120k could follow.

On the other hand, if bulls lose momentum before hitting the $113,289 resistance, a correction to the $104,445 multi-day support could follow. Of these two scenarios, the odds favor more upside and a possible rally to $120k. That’s because of the expectations of a rate cut. There is also an improving regulatory environment around cryptocurrencies in countries such as Japan.