$BTC

Bitcoin has surpassed 117,000 US dollars for the first time. So why did this massive increase happen? The issue has several interconnected reasons. There are huge inflows from large financial institutions that have started to invest their money in Bitcoin after investment funds like Crypto Blue Chip ETF emerged, which combines Bitcoin, Ethereum, and Solana. This created a new level of confidence among both large and small investors. Additionally, US policies have become more flexible towards crypto, especially after the current administration announced its intention to support innovation and clear regulations instead of tightening. This reassured the market and increased demand. There is also an emotional aspect where many people see Bitcoin as digital gold, meaning a way to preserve the value of money amid inflation and economic turmoil. However, at the same time, we must keep in mind that Bitcoin is inherently very volatile. It could correct again and drop a bit due to profit-taking or any negative news related to regulations or the global economy. If this trend continues, we might see Bitcoin breaking higher levels, but one must be prepared for volatility and not put all their money into a single asset. Overall, what has happened proves that Bitcoin has evolved from being just a digital currency to becoming an actual part of the global financial system.