Bitcoin Price Forecast: Bull Flag Targets $85K, Then $100K

Bitcoin (BTC) has jumped by 3% in the past 24 hours after one of the Federal Reserve’s governors made some dovish comments that contributed to lowering the odds of a rate hike this month.

During an interview with Reuters, Governor Christopher Waller commented that the Fed is “finally seeing some signs of disinflation,” even though prices have been increasing at a pace that nearly doubles the central bank’s 2% target.

“If this continues in the data due over the next two weeks, I would be inclined to support holding the target for the federal funds rate at its current setting,” he further added.

Odds of a Rate Hike Dropped to 50% After Waller’s Comments

The crypto market immediately reacted to the news, prompting a strong jump in the price of BTC that pushed it from $77,500 during the Asian session to $78,500 at the beginning of American trading hours.

Odds of a rate hike in September were immediately impacted by Waller’s remarks, dropping from 63% yesterday to 50% at the time of writing, according to data from FedWatch.

In the near term, analysts’ revisions of these odds tend to have a positive impact on the price of risky assets. However, the macro backdrop continues to be relatively unfavorable for cryptocurrencies, as high inflation will force Fed officials to maintain a hawkish stance on monetary policy.

Net inflows to exchange-traded funds (ETFs) linked to Bitcoin are starting to reflect some profit-taking going on and hedging, as investors withdrew money from these vehicles twice since the August 17 streak started.

This week, net inflows are still in positive territory at $81 million. Meanwhile, they ended last month at $3.5 billion, which is the highest figure on record since September 2025, back when BTC was trading above $100,000.

Bull Flag Pattern Breakout Could Ultimately Push BTC to $100K

Turning to the daily chart, we can see that Bitcoin has formed a bullish flag pattern. This is a continuation setup that tends to emerge after a strong price movement like the late-August rally.

If the price action breaks past the upper bound of the flag, that would usually confirm the resumption of that previous uptrend.

Today’s comments from Governor Waller could be setting in motion such a move, as lower odds of an interest rate hike will prompt market participants to load up on risky assets.

Positive momentum continues to be strong for BTC, and we keep leaning toward an upcoming push to $85,000 first, followed by a move to $100K if that target is broken.

This view is consistent with a weekly buy signal we have been tracking for months. In previous price prediction articles, we outlined that BTC had made a cycle bottom in two out of three occasions that the RSI has hit the 30 level.

We flagged the $60,000 level as this cycle’s bottom, and have seen the price of BTC break past the 200-day exponential moving average (EMA) already. This confirms a trend reversal and, potentially, the beginning of a bull market for the top crypto.