As of May 20, BTC reached an intraday high of $106,851, driven by strong institutional demand, including $6.9 billion in U.S. spot Bitcoin ETF inflows over three weeks and substantial corporate acquisitions like Strategy’s $765 million and Metaplanet’s $129 million BTC purchases.
This surge coincides with Moody’s downgrade of the U.S. sovereign credit rating from AAA to Aa1, prompting investors to seek alternatives like Bitcoin as a hedge against traditional financial instability. Additionally, the global cryptocurrency market cap rose 3.29% to $3.36 trillion, with Ethereum rallying 7.8% to $2,564.
However, the market has experienced volatility, with Bitcoin briefly falling back to $103,000 after its peak, leading to over $600 million in crypto derivatives liquidations. Despite this, analysts remain optimistic, with predictions that Bitcoin could reach between $180,000 and $200,000 by the end of 2025, fueled by increasing global adoption and ETF demand.
As of now, Bitcoin is trading at approximately $105,869, reflecting a 0.66% increase from the previous close. The cryptocurrency's resilience amid economic uncertainties and growing institutional interest suggests a bullish outlook for the remainder of the year.