Yesterday, the price of Bitcoin experienced an exciting surge. After opening, the price of Bitcoin steadily climbed, starting from $106,500 and gradually breaking through key levels of $108,500 and $109,800. In the morning, the price of Bitcoin surged further, successfully breaking the $110,000 barrier, reaching a peak of $110,900, setting a new historical high.

This wave of price increase is mainly attributed to multiple favorable factors. On one hand, the U.S. Senate passed the procedural vote for the "GENIUS Stablecoin Act," providing a clear regulatory framework for the stablecoin market and boosting market confidence. This policy development is seen as an important milestone for the cryptocurrency industry, indicating that more compliant funds may flow into the market. On the other hand, the continuous inflow of institutional funds has become a strong support for the price of Bitcoin. The weekly net inflow into spot Bitcoin ETFs exceeded $40 billion, with giants like BlackRock continuously increasing their holdings, and the total amount of Bitcoin held by listed companies has reached $349 billion, accounting for 15% of the circulating supply. Additionally, the improvement in the macroeconomic environment has also played a positive role, with the U.S. dollar index falling 9% this year, and expectations of interest rate cuts by the Federal Reserve encouraging funds to shift towards anti-inflation assets like Bitcoin.

From a technical perspective, Bitcoin's performance is also very strong. The RSI index is nearing the overbought zone, and the MACD remains in a bullish trend, indicating strong market momentum. However, the short-term overbought condition has raised some concerns, with some analysts warning investors about potential pullback risks.

Overall, the Bitcoin surge during the day on May 22 is the result of the combined effects of policy, institutional funds, and macroeconomic factors. Although there may be short-term volatility in the market, in the long run, Bitcoin's structural support remains solid, and it is expected to continue challenging higher historical peaks in the future.