Bitcoin's rally past $110K is driven by ETF approvals and massive investments from players like BlackRock and the U.S. government.
Nearly 10% of all Bitcoin is now held by major firms, tightening supply and pushing prices higher.
Volatility, regulations, and political moves (like tariffs) still pose serious risks to the crypto market.
Bitcoin has crossed the $110,000 mark for the first time, hitting an all-time high of around $112,006 this May. This sharp jump has kicked off a new round of speculation: is 2025 the start of Bitcoin’s Supercycle, a period where prices just keep climbing without the usual crash?
There’s a mix of signals suggesting that something big could be happening, and it’s not just hype from crypto influencers. This time, major financial players and even governments are involved.
One of the biggest game-changers came in early 2024 when the US approved Bitcoin spot ETFs. These are investment funds that allow people to buy Bitcoin through regular stock markets, without having to deal with crypto wallets or exchanges. That move opened the door for large-scale investments. BlackRock’s Bitcoin ETF, for example, has already pulled in more than $17 billion.
Back in March, President Trump surprised a lot of folks with news that the US is going to set up a national Bitcoin reserve. The idea is to keep more than 200,000 Bitcoins that the government has confiscated over time. With this move, the US has become the biggest known holder of Bitcoin. That’s got to give a nice little boost to everyone’s faith in the whole cryptocurrency scene.
Read More: Bitcoin Skyrockets: 230,000,000% Return in 15 Years Shocks All
Bitcoin is also being snapped up by big firms and investment funds. Together, these groups now hold close to 11% of all the Bitcoin that will ever exist. That’s a massive chunk, and when this much supply is taken off the market, prices often go up simply because there’s less to buy.
Another key stat: Bitcoin’s hash rate, basically the power securing the network hit a record high in April. That shows miners are confident and investing more resources into keeping the network running.
| Time Period | Profit% |
|---|---|
| 1 Day | −2.49% |
| 1 Week | 4.97% |
| 1 Month | 16.56% |
| 6 Months | 11.45% |
| Year to Date | 16.73% |
| 1 Year | 57.57% |
| 5 Years | 1090% |
| All Time | 999560% |
Despite all the excitement, Bitcoin is still a risky investment. Prices can swing wildly, and political moves can shake the market. In April, for example, Bitcoin’s price dropped sharply after President Trump introduced new global tariffs, which spooked investors.
There’s also always the chance of technical issues, exchange hacks, or sudden regulation changes. Those who’ve been around the crypto world long enough know that highs can quickly turn into painful lows.
Read More: Analyst Explains Why Ethereum Ratio to Bitcoin Is Dropping to 5-Year Lows
Bitcoin is on the brink of something big here. It is finally getting the attention it deserves from Wall Street, governments, and even those folks who used to roll their eyes at it. It's not just some digital coin anymore that tech enthusiasts and Reddit users toss around.
Now, here's the thing: whether 2025 is the year we see this so-called Supercycle depends a lot on what happens in the second half of the year. If the momentum keeps up and demand keeps outstripping supply, who knows? We could see that upward trend continue. But, let’s be real in the world of crypto, nothing is a sure thing. So, while curiosity is great, a little caution definitely goes a long way too.