Bitcoin, the leading cryptocurrency by market capitalization, soared to an unprecedented level on Sunday, reaching $125,245.57 at 0512 GMT. This milestone marks a fresh record, surpassing its previous peak of $124,480 set in mid-August.
The rally reflects a combination of evolving regulatory landscapes and increased institutional interest. Positive signals from the US government, particularly during the Trump administration, alongside rising demand for bitcoin exchange-traded funds (ETFs), have played a key role in propelling the digital asset upwards.
Regulatory Environment Spurs Bitcoin’s Growth
Bitcoin’s ascent coincides with a notable shift in US policy towards cryptocurrencies. Under President Donald Trump’s tenure, a more supportive stance has emerged, contrasting sharply with the cautious approach of his predecessor, Joe Biden. The US House of Representatives advanced three significant cryptocurrency bills in July, providing clearer frameworks for digital asset regulation.
These developments have encouraged institutional investors to increase exposure to bitcoin, contributing to sustained price increases. The cryptocurrency extended its winning streak to eight consecutive sessions by Friday, buoyed by gains in US equities and inflows into bitcoin ETFs.
Market Dynamics and Dollar Weakness
Meanwhile, the US dollar weakened against major currencies last Friday, experiencing multi-week losses amid concerns over a potential government shutdown. Uncertainties around fiscal policy delayed the release of critical economic data such as payroll figures, further clouding the economic outlook.
Joshua Lim, co-head of markets at crypto prime brokerage FalconX, told Bloomberg News, “With many assets including equities, gold and even collectibles like Pokemon cards hitting all time highs, it’s no surprise Bitcoin is benefiting from the dollar debasement narrative.”
New Trading Opportunities
In response to growing demand for cryptocurrency trading, FOREX.com, part of the StoneX Group, recently launched 24/7 cryptocurrency contract-for-difference (CFD) trading. This service allows investors to engage in crypto markets continuously, including weekends, expanding access and flexibility for traders worldwide.
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