According to a study by HTX Research dated May 16, 2025, the current Bitcoin rally, which reached $103,604, is driven by a decrease in inflation in the US and an increase in institutional investments. The Consumer Price Index (CPI) in the US has decreased to 3.2% year-on-year, easing pressure on the Federal Reserve to raise rates. This has created favorable conditions for investments in risk assets, including Bitcoin.
HTX Research notes that Bitcoin ETFs in the US have attracted $2.5 billion in just the last month, and companies like BlackRock are integrating tokenized assets into DeFi, enhancing trust in the crypto market. Additionally, the growth of the money supply (M2) in the US by 4.8% contributes to capital inflow into Bitcoin as a hedge against fiat devaluation. Analysts predict that if these trends continue, BTC could reach $125,000 by the end of summer 2025.
These factors highlight the bullish trend in the market. Stay tuned for news on #MiningUpdates
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