Bitcoin Blasts Past $120K as Macro Fears Fuel an Institutional Stampede

In partnership with

Hey Degens,

The narrative has officially flipped.

The "debasement trade," once a fringe bitcoiner talking point, is now the core thesis splashed across research notes from JPMorgan and Standard Chartered.

What changed this week is that macro panic finally found its release valve: spot Bitcoin ETFs.

While DC devolved into a shutdown, capital flowed cleanly into BTC, pushing the price past the critical $120,000 level.

You should care because this isn't a retail-driven meme rally. This is institutional validation, and they're bringing serious money.

TL;DR

• Bitcoin smashes through the $120,000 psychological barrier, targeting its all-time high.

• JPMorgan raises its Bitcoin price target to $165,000, calling it "undervalued relative to gold."

• Combined spot Bitcoin and Ethereum ETFs absorb a massive $2.4 billion in just four days.

• The on-chain Accumulation Trend Score hits 0.62, signaling strong and sustained buyer demand.

• Macro drivers like a US government shutdown fuel a powerful "debasement trade" narrative.

Join 18,000+ Investors at Crypto’s Top Virtual Event

The Crypto Community Summit brings together 27 sharp minds across three packed days to share what’s actually working for them in the crypto markets.

Learn how top investors find early-stage coins, time their entry, and manage risk like pros. You'll also get expert-backed insights to help you level up your crypto strategy—even if you're making your very first trade.

It’s all 100% virtual and 100% free. Claim your spot today.

Claim your free spot now

🧃 THE RUNDOWN

Price Action: Bitcoin surged over 9% this week, clearing $122,500 and now sits within striking distance of its $124,000 all-time high. The move was heavily concentrated during US market hours.

Institutional Targets: The price prediction arms race is on. Standard Chartered sees $135,000 "soon," JPMorgan targets $165,000, and Capriole Investments calls for a "very quick" breakout to $150,000.

Capital Flows: Spot ETFs are the main artery for new capital. A stunning $2.4 billion in combined BTC and ETH net inflows hit the market in just four days, with strong retail and institutional participation.

On-Chain Demand: The Accumulation Trend Score climbed to a sustained 0.62, its highest since August. This indicates demand is broadly outweighing network supply, a historically bullish signal.

Wallet Cohorts: Wallets holding 100 to 1,000 BTC have flipped from net distribution to heavy accumulation. They are absorbing liquidity provided by the largest whales, who continue to sell into strength.

Partner Corner: Start and monetize your own newsletter on beehiiv

Quick behind-the-scenes: I run DegenDen on beehiiv. It has the good stuff baked in – fast landing pages, solid analytics, helpful AI writing tools, and a built-in ad network so your newsletter can actually earn money.

I’ve partnered with the beehiiv team to hook you up with:

• 20% off your first 3 months

• A free 30-day trial, no credit card needed

Thinking of starting a newsletter or switching platforms? Maybe start a side hustle that can actually make money? Use my beehiiv link and tap into their ad network to start earning.

Main Event — The Debasement Trade Is Now Wall Street's Thesis

Bitcoin's explosive move past $120,000 is not just another leg up. It marks the moment Wall Street publicly adopted the "debasement trade" as its own.

The chaos of a US government shutdown, combined with persistent inflation and shaky fiat currencies, has forced traditional analysts to finally acknowledge Bitcoin's role as a premier safe-haven asset.

JPMorgan analysts, who just two months ago held a $126,000 target, are now calling for $165,000. Their reasoning is simple and powerful: Bitcoin is 'significantly undervalued relative to gold'."

The bank argues that even with higher volatility, BTC's market value should be 40% higher to properly reflect its role as a digital store of value. This is the same argument bitcoiners have been making for years, now packaged for institutional consumption.

This narrative shift is not just talk; it's backed by a firehose of capital. The primary plumbing for this trade is the fleet of spot ETFs, which vacuumed up $2.4 billion in four days.

On-chain data confirms the rally's health. The network's Accumulation Trend Score has pushed above 0.5 to 0.62, a level that has historically preceded durable price advances.

The buyers are clear. Data shows an 8% gain for Bitcoin during US market hours this week alone, pointing to American investors as the primary drivers.

Mid-sized wallets (100–1,000 BTC) have aggressively flipped to buying, absorbing the supply from mega-whales (>10,000 BTC) who have been distributing since August.

This is a healthy transfer of liquidity from early, massive holders to a new, broader base of serious accumulators. The machine is working as designed.

Deeper Cuts

1.  Wall Street's Price Target Arms Race

The flood of upgraded price targets from major banks is creating a reflexive feedback loop. As one bank raises its forecast, others are pressured to follow suit, which in turn draws in more media attention and capital. This isn't fundamental analysis anymore; it's competitive positioning. Watch for more upgrades as BTC approaches its all-time high.

2.  US Hours Are Driving Momentum

The fact that this rally is primarily an American-led event is significant. It signals that US institutional and high-net-worth investors are the marginal buyers setting the price. This differs from past cycles that were often led by Asian retail markets and suggests a deeper, more capital-heavy investor base is now in control.

3.  The 'Convergence' Is Unlocking Billions

We are witnessing the "Convergence" in real time: the confluence of ETFs, a friendlier regulatory landscape, and the mass financialization of crypto. Bitwise notes that the inclusion of crypto in US 401(k) retirement plans alone could unlock $122 billion in new capital, potentially lifting Bitcoin above $200,000 before year-end. The pipes are being built to accommodate trillions.

The macro case is locked in, and the capital is flowing. The only variable is how high we go.

— Dr. P & The DegenDen Team

Meme of the Day