Bitcoin just made headlines again. This time, it broke through the $123,000 mark for the first time ever, touching a new all-time high of $123,153.22 before cooling slightly to hover near $122,000. The rally, which has already seen Bitcoin surge 30% just this year, comes at a time when crypto regulation in the U.S. is about to take a major turn.
So, what’s fueling this momentum?
A mix of factors but most notably, a growing belief among investors that crypto-friendly policies might finally be within reach. With Washington gearing up to vote on critical legislation during the newly-declared “Crypto Week,” optimism is running high.
And former U.S. President Donald Trump isn’t staying quiet either. He’s now embracing the industry more openly than ever, declaring himself the “crypto president” and calling for lawmakers to “revamp rules in favour of the industry.”
According to Tony Sycamore, market analyst at IG, “It’s riding a number of tailwinds at the moment,” pointing to strong institutional interest, positive sentiment from Trump, and expectations of further growth. “It’s been a very, very, strong move over the past six or seven days and it’s hard to see where it stops now. It looks like it can easily have a look at the $125,000 level,” he added.
But Bitcoin isn’t alone in this breakout. Other major cryptocurrencies are also catching fire:
- Ethereum (ETH) climbed to a 5-month high of $3,059.60
- XRP and Solana both gained around 3%
- The entire crypto market cap is now approaching $3.81 trillion, according to CoinMarketCap
This momentum isn’t just about price charts, it’s about perception. There’s a noticeable shift in how crypto, especially Bitcoin, is being viewed globally.
Gracie Lin, CEO of OKX Singapore, explains:
“What we find interesting and are watching closely are the signs that bitcoin is now being seen as a long-term reserve asset, not just by retail investors and institutions but even some central banks.”
She also points out the rising involvement of Asia-based investors, including family offices and private wealth managers, a sign that this rally might not be short-lived hype, but a deepening integration of Bitcoin into the global financial system.
Lin added.
“We’re also seeing increasing participation from Asia-based investors, including family offices and wealth managers. These are strong signs of bitcoin’s role in the global financial system and the structural shift in how it is perceived, suggesting that this isn’t just another hype-driven rally,”
Meanwhile, the policy landscape is heating up in Washington. Lawmakers are preparing to debate and potentially vote on three key bills during Crypto Week:
- The Genius Act
- The Clarity Act
- The Anti-CBDC Surveillance State Act
Each of these bills could reshape the way crypto is regulated in the U.S., and their outcomes are expected to send strong signals to both domestic and international investors.
Bottom line
Bitcoin’s historic rally isn’t happening in a vacuum. It’s powered by political support, institutional adoption, and a growing realization that crypto may be evolving into something more permanent, a fixture of the modern financial world.
