Bitcoin reached a new all-time high on Monday, crossing the $120,000 mark for the first time in history. According to reports from The Economic Times, the leading cryptocurrency soared to $122,531 yesterday. However, by Tuesday morning, the price had slightly dipped.
Over the past few months, Bitcoin has been on a steady upward trend. On Monday alone, the price rose by 3 percent. In the last week, it has climbed more than 10 percent. Over the past month, the increase is nearly 16.5 percent.
In six months, it has surged by 28.85 percent, and in the last year, Bitcoin’s value has doubled with a 106 percent rise. Over the past five years, its value has skyrocketed by an astonishing 1,690 percent.
Thanks to this rise, Bitcoin’s market capitalization on Monday reached 2.41 trillion US dollars, making it the fifth most valuable asset in the world. It now ranks above tech giants like Amazon and Google. Not just the price, but the trading volume also increased significantly. On Monday, Bitcoin’s trading volume jumped by 33.12 percent.
And it is not just Bitcoin. Other cryptocurrencies have also seen gains. Ethereum, the second-largest crypto in the market, rose by 3.28 percent on Monday, reaching $3,055.
Analysts attribute this record-breaking surge in it’s price to consistent institutional buying. Large investment firms have been withdrawing massive amounts of Bitcoin from exchanges, reducing the available supply in the market and pushing the price higher.
Adding to the momentum is recent political support. After being re-elected, US President Donald Trump issued an executive order in March this year, directing the creation of a “strategic reserve of cryptocurrency.”
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He has also appointed several crypto-friendly officials to key positions, including Paul Atkins as the new chairman of the Securities and Exchange Commission (SEC) and artificial intelligence tycoon David Sacks to a senior White House role.
The Trump family’s business empire is also making moves into crypto. Their company, Trump Media and Technology Group, recently submitted a proposal to the US SEC. The proposal outlines plans to launch an exchange-traded fund (ETF) that would invest in it and other digital tokens.
While Bitcoin has reached its highest valuation to date, analysts believe the price may stabilize in the coming weeks, staying within the range of $120,000 to $130,000. Experts suggest that major investors are currently holding back from making bold bets on Bitcoin. Moreover, market indicators show steady levels of uncertainty and a strong US dollar index, suggesting Bitcoin may remain stable for a short while before starting its next upward climb.
In summary, Bitcoin’s historic rally is being driven by a combination of institutional interest, political backing, and market momentum. While short-term stability is likely, long-term projections remain bullish as global confidence in digital assets continues to grow.
