Bitcoin Hits Record $118,900 Amid Institutional ETF Inflows, Crypto Rally

Bitcoin has recently surged past $118,000, hitting new all-time highs driven by a combination of favorable regulatory developments, strong institutional demand, and robust inflows into spot Bitcoin ETFs. Market analysts highlight a rare trifecta of low open interest, low implied volatility, and low liquidity, creating conditions ripe for a significant price breakout, with many investors betting on Bitcoin reaching $140,000 by September. This rally is further supported by President Trump's pro-crypto stance, which has encouraged institutional investors such as banks and hedge funds to increase their Bitcoin holdings. Ethereum and other major cryptocurrencies have also gained, with ETH briefly surpassing $3,000, contributing to a broader crypto market capitalization increase to approximately $3.76 trillion. The surge is reinforced by optimistic expectations of a dovish Federal Reserve, driving hopes for interest rate cuts and encouraging inflows into crypto assets and related stocks. Additionally, Trump's business ventures plan to launch a crypto-focused ETF, signaling growing corporate and market confidence in cryptocurrencies as alternative assets.