đ Key Highlights
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Bitcoin reaches a new all-time high of $124,002.49
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Surge driven by Fed rate cut expectations and Trump administration crypto reforms
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Ethereum rises to $4,780, highest level since 2021
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Crypto market cap exceeds $4.18 trillion, up from $2.5 trillion in late 2024
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U.S. executive order enables Bitcoin in 401(k) retirement plans
đ Bitcoin Hits Record on Monetary Policy Hopes
Bitcoin soared to a fresh all-time high on Thursday, lifted by growing investor expectations that the Federal Reserve will ease interest rates in the coming months. The cryptocurrency rose as much as 0.9% in early Asia trading, touching $124,002.49 and surpassing its previous peak set in July.
Ethereum also jumped to $4,780.04, its strongest level in nearly four years.
Traders pointed to dovish signals from the Fed and expanding institutional interest in digital assets as core drivers of the recent rally.
đď¸ Policy Shifts Underpin Crypto Strength
Analysts say the rally reflects a confluence of market and political factors. IG market analyst Tony Sycamore noted that the combination of rate-cut expectations and regulatory reforms under the Trump administration has created favorable conditions for digital assets.
âTechnically a sustained break above $125k could propel BTC to $150,000,â Sycamore wrote in a market note.
Bitcoin has climbed nearly 32% year-to-date in 2025, fueled by broader support from the White House. President Donald Trump has publicly embraced crypto, calling himself the âcrypto president,â and his administration has taken several steps to expand access to the asset class.
𧞠Crypto Moves Into Retirement Accounts
A key development last week was a new executive order allowing cryptocurrency assets in 401(k) retirement plans. This policy change is seen as a major boost for institutional crypto products offered by firms such as BlackRock and Fidelity, who manage spot Bitcoin ETFs.
While the move is expected to accelerate adoption, some analysts caution that cryptoâs inherent volatility may not be suitable for all long-term savings vehicles.
đš Market Expansion and Regulatory Momentum
The broader crypto market has also benefited from a regulatory tailwind. Stablecoin legislation passed earlier this year and new SEC frameworks have helped clear uncertainty for crypto businesses and investors alike.
According to CoinMarketCap, total market capitalization for crypto assets has surged to $4.18 trillion, up from $2.5 trillion following Trumpâs election win in November 2024.
