Bitcoin price has once again found itself at the crossroads of macroeconomic chaos and investor optimism. As global trade comes under heavy pressure from President Trump’s aggressive tariff policies in 2025, markets have been struggling to price in the impact on inflation, interest rates, and the U.S. dollar. Yet, Bitcoin price latest rebound from the $83,000 zone shows one thing clearly—investors are positioning for what could be the next leg up in the ongoing bull market.
The current environment of global uncertainty, combined with expectations of further Federal Reserve rate cuts and bipartisan progress on crypto regulation, is setting the stage for a potential Bitcoin breakout into 2026.
Bitcoin Price Prediction: Tariffs, Dollar Weakness, and Bitcoin’s Macro Edge
Every new tariff adds fuel to inflation and disrupts global supply chains. In 2025, with import taxes affecting nearly every major economy, the dollar’s purchasing power has started to erode, and U.S. Treasury yields have flattened. Historically, this kind of macro setup has favored scarce assets—gold and, increasingly, Bitcoin.
Grayscale Research notes that Bitcoin’s pullback since October mirrors its historical average during bull markets. The 32% correction between October and late November reflects a normal breather, not the start of a major downturn. If the Federal Reserve delivers another rate cut at its December 10 meeting, it could act as a tailwind for Bitcoin price, weakening the dollar and driving new institutional flows into digital assets.
Technical View: A Bottom Forming Near $83,000
Looking at the TradingView daily chart (Heikin Ashi, Bollinger Bands 20, SMA 2), Bitcoin has found solid support around $83,745, right at the lower Bollinger Band. The candles from late November show shrinking bodies and wicks on both sides—an early sign of consolidation and potential reversal.
On December 3, the price broke above the mid-band near $90,294, closing at $92,354, marking a decisive shift in momentum. The next resistance lies around $96,800, where the upper Bollinger Band sits. A sustained close above this level could confirm a short-term trend reversal toward the $110,000–$115,000 zone.
The recovery pattern echoes Bitcoin’s previous mid-cycle consolidations seen in 2019 and 2021—where a 30% drawdown set the stage for the next rally leg. If history rhymes, Bitcoin may now be entering its accumulation phase before another parabolic move into 2026.
Institutional Flows and Regulation as Catalysts
Beyond charts, the market’s structure has matured dramatically. New Exchange-Traded Products (ETPs) for XRP and Dogecoin have already debuted, and over $145 billion is now locked in crypto-focused ETPs. Institutional adoption is no longer speculative; it’s systemic.
At the same time, bipartisan crypto legislation in the U.S. Senate is progressing faster than expected. Clearer rules around custody, taxation, and reporting will reduce uncertainty for funds and corporate treasuries looking to allocate to Bitcoin. That, combined with growing integration of digital asset treasuries and AI-driven payment networks like Coinbase’s x402, will continue to normalize Bitcoin as part of the global financial system.
Bitcoin Price Prediction Toward $175,000
Assuming macro conditions turn favorable—Fed easing, stable U.S. employment, and cooling inflation—Bitcoin price could regain its bullish momentum through 2026. The first target remains the previous cycle high near $130,000. A breakout above that resistance would likely trigger FOMO buying, pushing price discovery toward $150,000–$175,000 by mid-to-late 2026.
This projection is not baseless optimism. Bitcoin’s previous cycles have shown 4–5x growth from major cycle lows. The November 2022 bottom near $16,000 aligns with a potential peak near $175,000 if the pattern holds. While the “four-year cycle” narrative may fade, the rhythm of capital rotation, ETF inflows, and monetary policy continues to guide price behavior.
$BTC price recovery from its recent lows suggests renewed strength under the surface. The combination of macro inflation pressures, tariff-driven global volatility, and institutional adoption is quietly building the foundation for Bitcoin’s next rally phase.
If the Fed cuts rates again and the crypto legislation clears Congress, $Bitcoin could easily surpass its previous highs—and yes, a run toward $175,000 in 2026 is not only plausible, but increasingly probable.