Bitcoin $120K ‘epic mic drop’ rally set after US court blocks Trump tariffs

A US federal court’s decision to block the majority of President Trump’s tariffs has sparked optimism among crypto analysts, predicting a Bitcoin price surge towards $120,000. Swyftx lead analyst Pav Hundal views the court’s ruling as a significant catalyst, stating it will accelerate Bitcoin’s momentum and potentially lead to new all-time highs. The court argued that Trump overstepped his authority when imposing the tariffs, a decision that Hundal believes will have a ripple effect across the market.

While Bitcoin briefly reached an all-time high of $111,970 on May 22, it has since retraced to around $107,750. Despite this recent dip, Hundal remains bullish, asserting that the upward trend is irreversible. He attributes the previous price decline below $100,000 to the broader macroeconomic uncertainty fueled by Trump’s initial tariffs on Canada, Mexico, and China, implemented in early February. However, he believes this delay was temporary and the underlying bullish trend remains intact.

The analyst highlights a confluence of factors contributing to the anticipated price increase. Corporations, spot Bitcoin ETFs, and retail investors are increasingly allocating funds towards Bitcoin, creating a “wall of money” pushing prices higher. The trading week ending May 23 saw a substantial inflow of $2.75 billion into US-based spot Bitcoin ETFs. Hundal emphasizes that this influx of capital, coupled with the positive court decision, is strengthening Bitcoin’s demand and solidifying the consensus for a $120,000 price target in the options markets.

Even with the Trump administration’s appeal, Hundal maintains that the market sentiment has already shifted significantly. The appeal, regardless of its outcome, is unlikely to reverse the current positive momentum. Other analysts share this optimistic outlook, with BitMEX co-founder Arthur Hayes urging investors to “Buy everything round dos,” and Bitcoin Ranchy suggesting the court decision may lead to immediate price increases. Standard Chartered’s Geoff Kendrick also forecasts Bitcoin reaching $120,000 in the first half of 2025, on its way to $200,000 by year-end, driven in part by the growth of stablecoins. It’s important to note that this analysis does not constitute financial advice; all investment decisions involve risk.