Key Points
- Bitcoin hit a new all-time high, crossing the $120,000 level for the first time.
- The surge is driven by investor optimism about new, crypto-friendly laws being debated in the U.S. this week.
- President Donald Trump has shown strong support for the industry, boosting investor confidence.
- Strong demand from large institutional investors is also a major factor in the price climb.
Bitcoin surged to a new record on Monday, blowing past the $120,000 mark for the first time. The world’s largest cryptocurrency is riding a wave of optimism as investors bet on a series of friendly new laws for the digital asset industry coming out of Washington this week.
The rally is closely tied to what’s happening in U.S. politics. The House of Representatives is set to debate several bills that would create a much-needed regulatory framework for crypto in the United States. The industry has been demanding this for years, and now it seems to have a powerful ally in President Donald Trump, who has called himself the “crypto president.”
This political tailwind, combined with strong and growing demand from big institutional investors, has created a perfect storm for Bitcoin. One market analyst noted that it’s hard to see where the rally stops now, suggesting that $125,000 could be the next target. The positive mood has lifted the entire crypto market, which is now worth a massive $3.78 trillion. Ether, the second-biggest token, also hit a five-month high.
The excitement is not just in the U.S. In Hong Kong, crypto-focused exchange-traded funds (ETFs) also soared to record highs on Monday. All eyes are now on Washington as lawmakers vote on bills that could finally bring regulatory clarity to the crypto world and potentially fuel the rally even further.
