Bitcoin surge to $137K by Q3 possible if US Treasury continues liquidity injections — Analysts

The US Treasury has injected $ 500 billion into the financial markets since February by drawing liquidity from its general Treasury account (TGA), funding government operations after a debt ceiling of 36 billions of dollars on January 2, 2025.

The macroeconomic financial analyst Tomas said that this overvoltage of liquidity increased the net liquidity of the federal reserve to 6.3 billions of dollars, and that it could support the price of bitcoin (BTC) in the future, even if risk assets have reflected minimum growth so far.

The TGA represents the government’s current account in the federal reserve, holding capital for daily operations such as payment of invoices or tax collection. A decrease in TGA capital means that the balance has been deployed in the larger economy, increasing the species available on the markets.

Tomas explained that the withdrawal of the TGA started on February 12, after the exhaustion of the “extraordinary measures” after the end of the debt ceiling. The TGA balance increased from $ 842 to around $ 342 billion, freeing liquidity in the system, and targeted liquidity is expected to reach $ 600 billion by the end of April.

The analyst added that the current tax season will temporarily drain liquidity, but the withdrawal should resume in May. If the talks in the debt ceiling extend until August, clear liquidity could reach a multi -year summit of 6.6 billions of dollars, which could cause an optimistic rear wind for Bitcoin.

According to a study by financial analyst Lyn Alden, Bitcoin has historically moved 83% of time in accordance with global liquidity during a given period of 12 months. The research called “Bitcoin A Global Liquidity Barometer” compared Bitcoin to other major asset classes such as SPX, GOLD and VT, and BTC has exceeded the correlation index compared to global liquidity.

The TGA samples in 2022 and 2023 fueled speculative assets such as Bitcoin. Thus, a boost of $ 600 billion, more billions more added in the second quarter, could increase the BTC value if the market conditions remain stable.

Related: Bitcoin traders target $ 90,000 because apparent price exemptions facilitate yields of the US Treasury

Bitcoin Eyes $ 137,000 per T2-Q3, says the analyst

The anonymous crypto trader Titan of Crypto shared an upward perspective for Bitcoin, predicting that the BTC could reach a new summit of $ 137,000 in July-August 2025. In a recent post, the analyst underlined an optimistic flag model on the daily graphic, with the price of potential direction towards a positive escape.

However, before pushing the fleas in a long conviction, BTC must break and keep a position above its 200-day exponential mobile average (EMA). As illustrated in the graph, Bitcoin faces the resistance of the three EMAs Keys, namely the indicators of 50 days, 100 days and 200 days.

Collective recovery above each mobile average on a graphic graph of delay could further strengthen the optimistic case, allowing the crypto to retest its six-digit targets.

Related: Bybit integrates Avalon via Cefi to Defi Bridge for Bitcoin yield

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