Bitcoin soared to a new all-time high on Friday, reaching $118,661.10, fueled by renewed enthusiasm in financial markets and growing institutional support. Against a backdrop of geopolitical tensions, persistent inflation, and anticipation surrounding Donald Trump’s economic policies, the world’s most prominent cryptocurrency is experiencing a fresh wave of optimism.
The latest surge has been largely driven by a massive influx of capital into bitcoin exchange-traded funds (ETFs). Just in the most recent trading session, these investment vehicles saw $1.18 billion in inflows — their highest daily total of the year. Ethereum ETFs also shined, attracting $383.1 million in inflows, marking their second-best day since launch. This institutional capital has acted as a catalyst for the latest bullish rally.
Beyond financial momentum, pro-crypto policies from the Trump administration have created a more welcoming regulatory environment for digital assets. The former president announced plans to establish a strategic bitcoin reserve in the United States, describing it as a “virtual Fort Knox for digital gold” — an effort to legitimize its value and place it at the core of the country’s digital economy.
The bitcoin rally has also triggered a wave of short liquidations: over $650 million in bearish positions have been wiped out in the last 24 hours. Ethereum has seen $215 million in liquidations over the same period.
The bullish trend has rippled through the stock market. Crypto-related companies like mining firms Marathon Holdings and Riot Platforms rose 3% in pre-market trading. MicroStrategy, known for its bitcoin-heavy balance sheet, also saw a 3% gain. Trading platforms such as Coinbase recorded similar increases.
However, not all analysts are on board with the widespread optimism. Some warn that the current price may be artificially inflated due to political backing and maintain that bitcoin remains, at its core, a speculative asset. Despite being more than 16 years old, it still hasn’t achieved widespread adoption as a common means of payment — a key promise of its early vision.
A recent survey of cryptocurrency analysts places the average bitcoin price target at $145,167 by the end of 2025. The most bullish forecasts suggest it could surpass $458,000 before the end of the decade, driven by growing institutional adoption and the search for alternatives to traditional cash in an environment of high inflation.
So far this week, bitcoin has gained nearly 10%, while Ethereum has surged more than 20%, reinforcing a bullish trend that keeps investors alert and increasingly optimistic.
