Bitcoin has shattered yet another record, surging past the $118,000 level during Friday’s Asian trading session as the cryptocurrency market experiences an unprecedented rally fueled by institutional demand and increasingly crypto-friendly policies from the Trump administration.
The world’s largest digital asset reached a peak of $118,250, extending its remarkable year-to-date gains to more than 24%. The latest surge builds on Thursday’s momentum, when Bitcoin climbed to $115,860 before settling around $117,440 with a 7% daily gain.
Altcoins Jolt Higher
The Bitcoin rally has breathed new life into the broader cryptocurrency ecosystem, with altcoins experiencing their most significant surge in months. Ethereum, the second-largest cryptocurrency, jumped more than 5% to trade at $2,964.02, after touching a five-month high of $2,998.41.
The altcoin revival has been broad-based, with Solana gaining over 2%, while meme coins and established projects alike have participated in the rally. Dogecoin and Cardano’s ADA token each surged more than 5%, while XRP and Litecoin posted solid 3% gains. This widespread participation suggests that the current bull run extends beyond Bitcoin’s dominance, potentially signaling a more comprehensive market recovery.
Long-Term Bullish Factors
The crypto market’s explosive growth has been underpinned by significant institutional adoption and favorable regulatory developments. Bitcoin exchange-traded funds have attracted billions in inflows, helping maintain the cryptocurrency above the psychologically important $100,000 level for more than 60 consecutive days. Public companies have also joined the buying spree, with corporate Bitcoin purchases outpacing ETF inflows in the second quarter.
Political developments have provided additional fuel for the rally. President Trump’s executive order establishing a strategic cryptocurrency reserve in March has demonstrated unprecedented government support for digital assets.
In addition, his administration has appointed several crypto-friendly officials, including Securities and Exchange Commission chair Paul Atkins and White House AI czar David Sacks, signaling a regulatory environment that favors innovation and adoption.
It’s also worth noting that the Bitcoin reserve movement has gained significant momentum beyond the United States, with major corporations and sovereign nations building strategic cryptocurrency stockpiles. MicroStrategy continues to lead corporate adoption with over 400,000 Bitcoin on its balance sheet, while Tesla, Square, and Marathon Digital Holdings have also accumulated substantial positions.
The crypto-friendly ecosystem has extended to traditional financial markets, with crypto-related stocks posting impressive gains. Bitcoin mining giants Mara Holdings and Riot Platforms each rose more than 2%, while trading platforms Coinbase and Robinhood advanced 4%. Even Trump Media & Technology Group has entered the fray, with SEC filings revealing plans to launch an exchange-traded fund investing in multiple crypto tokens, including Bitcoin.
Adding to the bullish sentiment, Federal Reserve dovish expectations have created a favorable macroeconomic environment for risk assets like Bitcoin. Market participants are increasingly positioning for potential interest rate cuts later this year, with Fed officials signaling a more accommodative stance amid concerns about economic growth, weighing on the US dollar while simultaneously lifting risk assets like crypto.
With Congress making progress on stablecoin legislation and institutional adoption accelerating, the cryptocurrency market appears positioned for continued growth as investors embrace the new digital asset paradigm.
