Bitcoin (BTC) Hits New All-Time High as Crypto Rally Strengthens

Bitcoin (BTC) briefly hit a new all-time high of $109,500 on May 21.

The largest cryptocurrency by market capitalization pulled back to trade at $107,000 after reaching the new milestone as stocks fell and U.S. Treasury yields spiked during the session. The new all-time high surpassed BTC’s previous record high of just over $109,000 reached on Jan. 20 of this year, the date of President Donald Trump’s inauguration.

The rally in Bitcoin is gathering strength as the crypto market rebounds from the lows seen in March and April of this year. Analysts say that Bitcoin and other cryptocurrencies are being lifted by positive regulatory developments and growing institutional buying.

Bullish Signs

Bitcoin options markets are flashing bullish signals and many analysts expect the cryptocurrency to be trading above $110,000 in coming weeks. It’s a big reversal for Bitcoin, whose price had languished around $80,000 for much of March and April and frequently dipped below that level.

The rise in Bitcoin comes as other cryptocurrencies such as Ethereum (ETH) and XRP (XRP) also experience a bounce off their recent lows. Investors’ risk appetite is also back after U.S. import tariffs were lowered on countries such as China and a trade deal was struck with the United Kingdom.

The global crypto market is now approaching a $4 trillion market capitalization as enthusiasm for digital assets grows. BTC is up 12% this year.

Is BTC a Buy?

Most Wall Street firms don’t offer ratings or price targets on Bitcoin, so we’ll look instead at its three-month performance. As one can see in the chart below, the price of BTC has risen 9.45% in the last 12 weeks.