Bitcoin surged to a record high on Wednesday, reaching $109,760.08 and surpassing its previous January peak as risk appetite improved following last month’s tariff-related market selloff. The cryptocurrency was last trading up 1.1% at $108,117.
Market optimism is being fueled by softening trade tensions between the U.S. and China and Moody’s recent downgrade of U.S. sovereign debt, which has pushed investors toward alternative assets. Bitcoin, often trading in tandem with tech stocks, is benefiting alongside the Nasdaq, which is up 30% from its April low.
Nexo co-founder Antoni Trenchev noted that with January’s high breached and a 50% gain from April’s low achieved, bitcoin is now in “blue sky territory” supported by institutional interest and favorable U.S. regulation.
Bitcoin’s rise has also been supported by continued dollar weakness and growing engagement from traditional financial firms. JPMorgan CEO Jamie Dimon, a previous crypto critic, said the bank would now allow clients to purchase bitcoin. Additionally, crypto exchange Coinbase was recently added to the S&P 500 index, despite facing a Justice Department probe over a data breach.
Despite bitcoin’s surge, ether dropped 0.5% to $2,513. Analysts remain optimistic about bitcoin’s outlook, citing historical trends following halving cycles. Trenchev suggested a 2025 target of $150,000 remains plausible.
Source: Swifteradio.com
