Bitcoin Price Targets $85K, $100K as Bull Flag Forms

The Bitcoin price is expected to reach new heights, according to recent predictions. A bull flag formation on the charts suggests that the cryptocurrency could hit $85K and then potentially $100K. However, this optimistic outlook may be tempered by the macroeconomic backdrop, which remains unfavorable for cryptocurrencies due to high inflation.

The odds of a rate hike in September have decreased significantly following remarks from Waller, dropping from 63% to 50%. Analysts' revisions tend to positively impact the price of risky assets like Bitcoin, but the market is expected to remain cautious. Net inflows to exchange-traded funds (ETFs) linked to Bitcoin are still positive, with $81 million flowing in this week.

Despite these encouraging signs, some profit-taking and hedging may be underway as investors withdrew money from these vehicles twice since August 17. The net inflows for last month reached a record high of $3.5 billion, but this figure is likely to have been influenced by the high price of Bitcoin at the time.