1. Bitcoin's historic breakthrough of $105,000 sets a new historical high.
On the early morning of May 19, Bitcoin's price broke through the $105,000 mark, with a single-day increase of over 2.4%, setting a new historical high. This milestone breakthrough is primarily attributed to the continuous accumulation by institutional investors and support from policies in some U.S. states. JPMorgan analysts pointed out that Bitcoin may further surpass gold in the second half of the year, becoming a new favorite for risk-averse assets. Data shows that on that day, over 77,000 investors globally faced liquidation due to leveraged trading, highlighting the market's high volatility risk.
2. MicroStrategy continues to accumulate, consolidating its benchmark position among institutional holders.
Although the latest accumulation occurred on May 12 (investing $1.34 billion to acquire 13,390 BTC at an average price of $99,856), the subsequent effects of this action continue to unfold. As of May 11, MicroStrategy holds a total of 568,840 BTC, valued at approximately $39.41 billion, with an average cost of $69,287. Its 'negative interest financing + hoarding' strategy further reinforces market confidence in Bitcoin's long-term value. Additionally, companies like Addentax Group plan to acquire Bitcoin through stock issuance, indicating that the trend of institutional capital inflow is ongoing.
3. Surge in Ethereum on-chain activity, driven by ETF funds and network upgrades.
Ethereum rose over 3% on May 19, with on-chain transaction fees increasing by 160% weekly, mainly driven by continuous inflow of ETF funds (accumulating over $1.2 billion since November 2024) and the upcoming Pectra network upgrade. The Pectra upgrade enhances network scalability and security, bolstering investor confidence in the long-term prospects of the Ethereum ecosystem. Meanwhile, the Solana on-chain meme coin STARTUP surged over 40 times in a single day, with a market value exceeding $20 million, reflecting market enthusiasm for high-risk assets.
4. Hong Kong stock market cryptocurrency concept stocks generally rise, JPMorgan is optimistic about Bitcoin's future.
On May 19, Hong Kong stock market cryptocurrency concept stocks collectively rose, with Blueport Interactive soaring 10% and Boya Interactive rising over 4%. JPMorgan analysts stated that Bitcoin's recent strong performance is not only due to weak gold prices but also supported by state-level policies in the U.S. (e.g., New Hampshire allowing state assets to allocate 5% to Bitcoin) and rising corporate demand. Analysts predict that Bitcoin may continue to outperform gold in the second half of the year, becoming an important option for mainstream asset allocation.
5. Policy dynamics: Global regulation and innovation run parallel.
U.S. and EU tariff negotiations: The steel, aluminum, and automotive tariff negotiations that started on May 18 may indirectly affect the cryptocurrency market. If negotiations break down, EU goods could face a 20% tariff, potentially exacerbating global economic uncertainty and driving funds toward safe-haven assets like Bitcoin.
China strengthens regulation: Hubei police investigated a case of illegal virtual currency trading involving over 120,000 yuan; Sichuan uncovered a 3.9 billion yuan illegal foreign exchange trading case, highlighting China's continued crackdown on cryptocurrency trading.
Dubai accepts cryptocurrency payments: The Dubai Finance Department announced it will begin accepting cryptocurrency payments for government service fees, becoming one of the first governments globally to fully implement public service cryptocurrency payments, promoting the practical application of cryptocurrencies.
6. Mining industry: Hashrate hits record high, efficiency competition intensifies.
As of May 1, Bitcoin's total network hashrate reached 831 EH/s, a 77% increase from the 2024 low, with mining machine efficiency continuously optimizing (e.g., Antminer S21+ reaching 16.5 J/TH). Despite a decline in mining rewards after the halving (daily earnings per TH/s dropping to $0.049), mining companies maintain competitiveness through hardware upgrades and energy arbitrage strategies. TSMC and Samsung's 3nm chip technology further enhances industry efficiency.
Summary: The cryptocurrency market on May 19 centered around Bitcoin breaking the $105,000 mark, with institutional buying, policy dynamics, and technological upgrades collectively driving market sentiment. However, risks from high leverage trading and regulatory uncertainty remain a concern. Investors should monitor whether Bitcoin can maintain the $100,000 level, as well as subsequent catalysts such as the Ethereum Pectra upgrade.