Bitcoin Smashes Through $120,000 Barrier Amid Historic Market Momentum and Policy Optimism

As U.S. crypto legislation gains steam and institutional interest deepens, Bitcoin’s rally signals a transformative shift in its role in global finance

Bitcoin Tops $120,000 for the First Time as Investors Bet on Favorable U.S. Policy and Growing Global Demand

Bitcoin reached an all-time high on Monday, surging past the $120,000 mark to touch $122,571 before stabilizing at $121,953 — a 2.4% daily gain. The move marks a defining moment for the world’s largest cryptocurrency, driven by optimism around upcoming U.S. regulatory reforms and a rising tide of institutional investment.

Later today, the U.S. House of Representatives will deliberate on a pivotal set of cryptocurrency-focused bills. Among them is the much-anticipated Genius Act, which proposes federal guidelines for stablecoins. Other key legislative items include the Clarity Act and the Anti-CBDC Surveillance State Act, all part of what has been dubbed “Crypto Week” in Washington. Together, these measures aim to provide long-overdue regulatory clarity for the digital asset industry.

President Donald Trump has thrown his full support behind the sector, calling himself the “crypto president” and urging lawmakers to modernize rules in favor of digital finance innovation.

“It’s riding a number of tailwinds at the moment,” said Tony Sycamore, a market analyst at IG. “We’re seeing strong institutional demand, expectations of continued gains, and clear political support from Trump. It looks like it could easily test the $125,000 level.”

The surge comes during what many now view as a structural shift in Bitcoin’s role from speculative asset to long-term reserve. Gracie Lin, CEO of OKX Singapore, noted:

“We’re observing serious interest from Asia-based family offices and wealth managers. Even some central banks are now reportedly considering Bitcoin as a reserve asset. This is no longer just hype — it’s a foundational transformation.”

The impact has rippled through the broader crypto market as well. Ethereum (ETH) hit a five-month high at $3,059.60, while XRP and Solana each gained around 3%. According to CoinMarketCap, the total cryptocurrency market capitalization now stands at an impressive $3.81 trillion.

Notably, Bitcoin’s meteoric 29% year-to-date climb contrasts starkly with its 2022 lows during the so-called crypto winter, reinforcing renewed confidence across retail and institutional circles.

With key legislation potentially reshaping the U.S. crypto landscape, and geopolitical dynamics pushing investors toward decentralized assets, Bitcoin’s ascent to $120,000 may not just be another milestone — it could be the start of a new era in global financial architecture.