Bitcoin Pullback After Treasury Rules Out New Buys — Watch for Dip

I view Thursday’s pullback below $120K — after an intraday peak near $124.5K — as a direct reaction to the Treasury saying it won’t buy additional Bitcoin for the strategic reserve. Removing that potential buyer reduced near-term upside.

However, the government also confirmed it won’t sell its existing BTC holdings, and macro tailwinds like rising US debt and inflation pressure keep Bitcoin attractive as a long-term hedge. Volatility around policy headlines should persist.

I’m watching price structure closely: a sustained break below ~115K would increase downside risk, while a decisive reclaim above recent highs would resume bullish momentum.