Bitcoin broke the $99,000 barrier on May 8, 2025, reaching as high as $99,500 and marking its highest level since December 2024. This surge is fueled by several key factors:
Institutional Momentum: Major inflows into spot Bitcoin ETFs, led by BlackRock’s IBIT, and continued accumulation by firms like Metaplanet and Strategy have strengthened market confidence.
Macroeconomic Drivers: The Federal Reserve’s decision to hold interest rates steady and growing expectations of rate cuts have weakened the dollar, making Bitcoin more attractive as a hedge.
Global Policy Shifts: China’s recent liquidity boost and positive US-UK trade talks have improved risk sentiment, while geopolitical tensions have increased Bitcoin’s appeal as a safe-haven asset.
On-Chain Strength: Bitcoin supply on exchanges remains low, mining difficulty is stable, and realized capitalization has hit record highs, all signaling robust network health and long-term holder confidence.
Analysts believe that breaking $100,000 could trigger even more buying from both retail and institutional investors, further accelerating the 2025 bull run.
