The Bitcoin (BTC/USD) currency reached a new all-time high, surpassing $118,000 on Friday, continuing an exceptional week for the cryptocurrency. Bitcoin was trading at $118,111, up 6.3% over the last 24 hours, after peaking at $118,740 earlier in the session.

This upward surge is supported by expectations of a federal interest rate cut in September, flows into spot digital currency ETFs, as well as a more favorable regulatory environment.

According to Dillion Wu, a strategic expert at Pepperstone, it is only a matter of time before Bitcoin surpasses the $120,000 level, especially in the period leading up to Congress's review of several legislative proposals regarding digital assets.

The House of Representatives is set to consider three key pieces of legislation:

The CLARITY Act, which aims to establish a clear regulatory framework for digital currencies,

The Genius Stablecoin Bill, which regulates tokens backed by fiat currencies like the dollar,

And the Anti-State Surveillance Act for Central Bank Digital Currency, designed to prevent the Federal Reserve from issuing a Central Bank Digital Currency (CBDC) for retail customers.