Thursday, August 14, 2025 - Bitcoin surged to an all-time high of $124,000 on Thursday, August 14 fueled by growing demand from U.S. retirement accounts, institutional investors, and treasury firms. The move coincided with a rally in American stocks, reflecting heightened global risk appetite.
The world’s largest cryptocurrency by
market value rose 0.9% from its July peak, while Ethereum hit $4,700 — its
highest level since late 2021. Bitcoin is now trading near $121,500, having
broken decisively above the $120K mark after a strong rally from $116K.
Analysts say the breakout signals strong
momentum, supported by President Donald Trump’s pro-crypto policies, increased
certainty of Federal Reserve rate cuts in September, and sustained
exchange-traded fund inflows. Bitcoin’s market capitalization now stands at
around $2.5 trillion, while Ethereum’s has climbed to nearly $575 billion.
Together, the two account for roughly 70% of the global crypto market.
A recent executive order from Trump
allows 401(k) retirement accounts to invest directly in cryptocurrencies — a
potential multi-trillion-dollar pool of capital. Even a modest allocation could
deliver a significant boost to Bitcoin prices.
Institutional and treasury buying has
added further fuel to the rally, with steady payroll contributions in
retirement accounts creating consistent purchasing pressure. Large custodians
and asset managers are now expected to source more Bitcoin directly, bolstering
its legitimacy as a mainstream investment.
Trump, who calls himself the “crypto
president,” has overseen sweeping regulatory changes, including stablecoin
legislation and securities reforms to accommodate digital assets. His
administration’s stance, combined with a favorable macroeconomic outlook, has
driven Bitcoin up nearly 32% in 2025.
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