Bitcoin trades above $106,000, gaining over 13% in May 2025 and nearing its all-time high.
Institutional ETF inflows and strong on-chain metrics support continued bullish momentum.
Analysts project a breakout past $110,000, with long-term targets reaching up to $180,000.
Bitcoin (BTC) is trading at approximately $106,705, marking a 1.5% increase over the past 24 hours. Since the beginning of the month, Bitcoin has climbed from around $94,000, showing a gain of about 13%. This steady rise reflects growing investor confidence and stronger market conditions overall.
Bitcoin’s current price is just a few thousand dollars below its all-time high of $109,114.88, which was recorded in January 2025. The recent price surge has been driven by several key factors, including:
A rise in institutional investment in digital assets
A more favorable economic climate for riskier investments
Strong interest in Bitcoin ETFs (Exchange-Traded Funds)
The broader cryptocurrency market is also performing well, helping support Bitcoin’s positive momentum.
Bitcoin is experiencing a wave of new interest from large financial institutions. Investment firms are buying Bitcoin through spot ETFs, which are funds that directly hold Bitcoin and allow investors to buy shares tied to its price.
On May 20, two major Bitcoin ETFs—Fidelity's Wise Origin Bitcoin Fund and the ARK 21Shares Bitcoin ETF—reported combined inflows of over $343 million in just one day. This strong institutional demand helps stabilize the price and push it higher.
Another leading Bitcoin ETF, managed by BlackRock, also reported large capital inflows this month, confirming that interest from professional investors is rising steadily.
Also Read: Cryptocurrency Market to Rebound in Q3: Coinbase Report
Looking at Bitcoin’s price from a technical point of view, several key indicators are pointing toward continued bullish momentum:
Support Level: The price has solid support around the $100,000 mark. This is a psychological level that investors watch closely. It has previously acted as a “floor,” preventing the price from falling further.
Resistance Level: The main resistance lies just under $109,000, which is Bitcoin’s previous all-time high. If Bitcoin breaks above this level, it could trigger a strong rally.
Moving Averages: The 50-day and 200-day moving averages are both trending upward, suggesting a healthy long-term trend. These averages act as guides for investors to determine the strength of the price direction.
RSI (Relative Strength Index): The RSI is approaching overbought territory, meaning the asset is seeing strong buying activity. When this happens, there’s a chance of a short-term pause or a small correction before the next upward move.
On-chain analysis, which looks at blockchain data, shows more signs of strength:
The average realized price of Bitcoin (the average price that holders paid for their BTC) in 2025 is around $93,266. With the current price over $106,000, many investors are sitting on gains, which often increases overall confidence.
Long-term holders and "whales" (wallets with large amounts of BTC) are not selling aggressively. Many are keeping their holdings off exchanges, which reduces supply pressure.
Economic conditions worldwide are helping Bitcoin maintain upward momentum:
Inflation in major economies, especially the United States, is beginning to cool. This could lead to interest rate cuts by central banks, making borrowing cheaper and encouraging more investment in assets like Bitcoin.
Global investors are showing more interest in risk-based assets, and cryptocurrencies are seen as high-return opportunities.
Geopolitical tensions and doubts about traditional financial systems have also made Bitcoin attractive as a hedge against economic uncertainty.
In 2025, the regulation of cryptocurrencies is becoming more defined. In the United States, the creation of a Strategic Bitcoin Reserve earlier this year has been seen as a major step toward recognizing Bitcoin as a part of the official financial system.
Regulators are increasingly supporting the responsible use of Bitcoin while trying to prevent misuse. Clearer laws are expected to boost institutional adoption even further.
The Crypto Fear and Greed Index, which tracks emotions and attitudes in the market, currently shows a reading of 68—a sign of “Greed.” This means most investors are optimistic about Bitcoin and expect prices to go higher. However, when sentiment becomes too positive, short-term corrections can happen due to profit-taking.
Analysts are giving different predictions based on how the market behaves:
Some believe Bitcoin could reach $110,000 before the end of May 2025 if current buying pressure continues.
By the end of 2025, Bitcoin could trade anywhere between $137,000 and $180,000, depending on how quickly it is adopted and how the overall economy evolves.
These predictions take into account potential ETF inflows, market sentiment, supply constraints due to halving, and Bitcoin’s use as a long-term store of value.
Bitcoin is showing strong upward momentum as of late May 2025. Key drivers such as ETF demand, institutional adoption, improving economic conditions, and favorable technical indicators are all pushing the price closer to new highs.
With current support around $100,000 and resistance near $109,000, Bitcoin appears well-positioned for another major move. If it breaks above its previous high, a rally toward $115,000 or higher could follow in the short term.
Despite positive signs, caution remains important. Short-term corrections are always possible in volatile markets. However, overall sentiment in the Bitcoin market remains bullish, and the cryptocurrency continues to hold its place as a dominant and influential asset in the global financial system.