Why Is Bitcoin Rising? 2025 Spring Rally Explained
Bitcoin (BTC) has been gaining strong momentum again, recently breaking above the $107,000 mark. With market sentiment turning bullish, investors are asking one question: What’s driving this rally?
1. Institutional Demand & ETF Momentum
The approval of spot Bitcoin ETFs in the U.S. has opened the door for institutional money to flow in. This consistent demand is fueling a steady upward price pressure on BTC.
2. Post-Halving Supply Dynamics
The 2024 halving event has reduced the block reward, effectively lowering the new supply of BTC entering circulation. Historically, Bitcoin tends to rally within 12–18 months after a halving, and we’re seeing the early signs of that now.
3. Fed Pivot & Liquidity Return
With the Federal Reserve expected to cut rates later this year, risk assets like Bitcoin are back in favor. As interest in traditional safe-haven assets weakens, crypto markets are benefiting from renewed capital inflows.
BTC Price Today – May 21, 2025
• Price (USD): $107,698.30
• 24h Change: +2.73%
• All-Time High: $109,114.88 (Jan 2025)
What’s Next for BTC?
If Bitcoin can secure a strong daily close above $108K, the next resistance could be around $110K–$115K. However, indicators like RSI and MACD are approaching overbought territory—suggesting a possible short-term pullback before continuation.
Your Turn: What Do You Think?
Do you believe this rally has more room to run? Or is a correction coming?
Drop your thoughts in the comments!
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