Crypto Prices Explode Overnight—Here’s What’s Driving Bitcoin’s 2025 Surge

The crypto market is staging a cautious rebound on 22 August 2025 as traders digest dovish signals from the U.S. Federal Reserve and a flurry of regulatory headlines worldwide. Bitcoin (BTC) is pivoting around $113 000–$114 500, Ethereum (ETH) is back above $4 300, and fresh capital is flowing into newly launched spot ETFs. Fed signals spark relief rally Jerome Powell’s Jackson Hole preview suggested the central bank “may need to act pre-emptively” if the labor market cools, prompting traders to price in two rate cuts before year-end. Within minutes, crypto-linked equities surged and BTC bounced almost 2 % intraday, underscoring how tightly digital-asset sentiment now tracks macro policy. Bitcoin price today: resistance at $115 000 • Immediate support: $112 000 • Near-term resistance: $115 000, then the June all-time high at $118 400 • 30-day Bollinger bandwidth has narrowed to its tightest range since April, hinting at a breakout once Powell’s full speech lands. Options data imply ±2 % move over the weekend; traders eye CME gap at $110 900 for downside risk management. Ethereum price forecast: ETF flows flip bullish After four straight days of redemptions, U.S. spot Ether ETFs booked $287 million in net inflows on Thursday, led by BlackRock’s iShares Ethereum Trust ($233 million). The reversal has trimmed ETH’s month-to-date outflow to just $52 million and rekindled talk of a push toward the psychological $5 000 level in Q4. Institutional adoption accelerates • Hong Kong’s MicroBit debuted spot Bitcoin and Ethereum ETFs with $220 million AUM on 21 August. • State Street joined JPMorgan’s Onyx as the first third-party custodian for tokenized debt. • EU policymakers, jolted by the U.S. GENIUS stablecoin act, are testing Ethereum and Solana rails for a public-chain digital euro pilot. • Australia ordered Binance to undergo an external AML audit, reminding investors that compliance risk still looms large. Altcoins and stablecoins in focus XRP is flirting with $3 amid speculation that U.S. approval of a spot XRP ETF could arrive in late 2025. BNB hit a record $882 this week before cooling to the $840–$850 band; traders are watching daily active addresses, which topped 3 million for the first time. On the policy front, South Korean megabanks will meet Tether and Circle next week to discuss a won-pegged stablecoin, while the Philippines weighs a strategic Bitcoin reserve bill. Key catalysts ahead • Powell’s full Jackson Hole keynote (Friday 10 a.m. ET) • U.S. House vote on a defense-bill amendment that blocks a Federal Reserve CBDC • Monthly options expiry: 34 000 BTC and 220 000 ETH contracts roll off on 30 August • EU digital-euro consultation results due early September • Hong Kong ETF first-week flow data on 26 August Bottom line With macro headwinds easing, ETF inflows turning positive, and global regulators actively shaping the next wave of adoption, the crypto market today is positioned for heightened volatility—but also for renewed upside if Bitcoin can clear $115 000 and equity risk sentiment stays constructive. Traders should monitor Powell’s tone, ETF flow trends, and on-chain activity for the next decisive move.