Bitcoin regained the $114,000 mark despite heavy outflows from spot Bitcoin ETFs, sparking concerns about sustainability. $900 million flowed out of US-listed ETFs last week, with long-term whales selling 3.4 million BTC, indicating profit-taking and a potential cooling phase ahead.

A joint roundtable on digital asset regulation hosted by the SEC and CFTC aims to bring regulatory clarity to the industry. Key panelists include CEOs of ICE-NYSE, Nasdaq, and CME Group, along with representatives from major financial firms.

The looming risk of a US government shutdown on Oct. 1 could impact Bitcoin’s price negatively if traders become more risk-averse. Without congressional action, federal employees could be furloughed, disrupting services and affecting market sentiment.

US job market data and the Federal Reserve’s focus on core inflation could steer investors towards safer assets like gold and short-term government bonds. Signs of weakness in the labor market may influence market movements and investor behavior.

Optimism surrounding a US Strategic Bitcoin Reserve and the reevaluation of US Treasury’s gold reserves contribute to Bitcoin’s stability. Plans for budget-neutral strategies to acquire Bitcoin and potential reevaluation of gold reserves offer psychological support to the market.

Key drivers pushing Bitcoin towards the $120,000 level include regulatory clarity, averted US government shutdown, improved job market data, and the possibility of the US Treasury adding Bitcoin to its reserves. These factors play a crucial role in shaping market sentiment and investor confidence.

Read more at Cointelegraph: Bitcoin Turns Bullish 3 Reasons Why $120K Could Be Next