Bitcoin continues to capture global attention, hitting new milestones and sparking debates across the financial world. In the latest krypto news, Bitcoin surged to a record of $124,500, only to pull back by nearly 6%, leaving traders and investors questioning whether this is the start of a long-term rally or the prelude to a market correction.
According to Steven McClurg, CEO of Canary Capital and former CIO at Valkyrie, Bitcoin still has room to climb. Speaking with CNBC, he projected the possibility of a final surge to $140,000–$150,000 before a cyclical downturn begins. However, McClurg also cautioned that a broader bear market could hit as early as 2026.
ETF Boom Driving Bitcoin Prices
A major driver behind Bitcoin’s current strength is the inflow into Bitcoin ETFs, which has brought institutional capital into the market like never before. McClurg highlighted that it’s not just retail investors fueling the rally. Large players such as sovereign wealth funds, insurance companies, and pension funds are now allocating capital into Bitcoin.
This institutional adoption reinforces the idea of Bitcoin as “digital gold.” More companies are also adopting Treasury strategies that integrate Bitcoin, further boosting demand. The result has been a wave of optimism across krypto news outlets, with many analysts suggesting that the ETF boom could sustain Bitcoin’s momentum through late 2025.
Regulatory Tailwinds Add Support
Another key factor supporting Bitcoin’s rise is the regulatory clarity emerging in the United States. The SEC recently introduced new standards for Altcoin ETFs, potentially opening the door for products tied to XRP, Litecoin, and other tokens.
Moreover, the introduction of a Stablecoin Act now categorizes stablecoins in a framework similar to money market funds, providing much-needed legal certainty. McClurg called this development a “turning point” for the crypto industry.
Additionally, the approval of in-kind creations for crypto ETFs offers significant tax advantages to investors—something previously blocked by the SEC under Gary Gensler. These changes are viewed as major positives in recent krypto news reports, signaling that the U.S. regulatory stance toward digital assets is shifting toward maturity.
Short-Term Gains vs. Long-Term Risks
Despite the bullish backdrop, McClurg warned of potential macroeconomic risks that could eventually weigh on Bitcoin. Rising consumer debt defaults—notably in student loans, credit cards, and mortgages—are flashing warning signals.
While the Federal Reserve is expected to cut interest rates in the coming months, providing temporary fuel for the crypto market, McClurg foresees a global downturn by 2026 that could spark a broad-based bear market across all asset classes, including Bitcoin.
For now, though, seasonal patterns suggest August may remain weak, but September and October could bring fresh momentum. Investors are watching closely, with many krypto news analysts noting that Bitcoin’s trajectory will depend on ETF inflows and regulatory updates.
What This Means for Investors
For traders and long-term holders, the message is clear: Bitcoin may still have one last big rally left before the next correction. Experts recommend balancing optimism with caution, as market cycles in crypto tend to be sharp and unpredictable.
In the near term, the confluence of institutional adoption, regulatory progress, and ETF inflows could propel Bitcoin higher. But savvy investors should also prepare for volatility, especially as macroeconomic risks mount.
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