Bitcoin Hits Record High

Bitcoin surged to a fresh all-time high on Thursday, buoyed by rising confidence that US lawmakers are close to finalising a long-awaited regulatory framework for digital assets. The price of the world’s largest cryptocurrency hit $111,816, eclipsing January’s peak of $109,000 and extending a month-long rally that has added more than 35% to its value.

The latest surge follows growing momentum in Washington behind new rules for stablecoins—dollar-linked tokens widely used for trading and payments in the crypto sector. The so-called Genius Act, which has cleared the Senate and is now progressing through the House, would mark the United States’ first comprehensive legislation for the fast-growing digital dollar sector.

Industry figures say the move signals a turning point. “This is the clearest sign yet that the crypto bull market has further room to run,” said Thomas Perfumo, global economist at crypto exchange Kraken. He cited a “feedback loop” of rising equity markets, renewed inflows into crypto-linked ETFs, and corporate treasury buying—all reinforcing bitcoin’s upward trajectory.

ETFs Drive Inflows

More than $3.6bn has poured into US exchange-traded funds that track bitcoin this month alone, according to data from SoSoValue.com—making it the largest monthly inflow since January. The resurgence of investor appetite has accompanied a broader risk-on rally, helped in part by easing concerns over President Trump’s hardline tariff agenda.

The rebound has lifted not just bitcoin but other digital tokens. Ethereum climbed 4.5% to $2,619, and Solana edged up nearly 2% to $176. Though still well below their own record highs, the moves have reinvigorated a market that until recently was grappling with regulatory uncertainty and macroeconomic headwinds.

Bitcoin’s gains have also been underpinned by aggressive buying from corporates. Strategy, the largest publicly listed bitcoin holder, has resumed accumulation, while new players such as acquisition vehicle 21, backed by SoftBank and stablecoin operator Tether, have entered the market.

Stablecoin Shake-Up

The proposed US rules for stablecoins could turbocharge that corner of the market. Investment bank Standard Chartered estimates that the sector’s notional value—currently around $240bn—could balloon to $2tn by 2028, with the majority of backing assets likely to be held in US Treasuries.

The Genius Act would require issuers to maintain strict reserve standards and undergo regulatory oversight. Most of the Senate has already backed the bill, though resistance remains. Prominent Democrats including Senator Elizabeth Warren have warned that the draft does not go far enough to protect consumers or safeguard financial stability.

Still, crypto executives see progress. Jeremy Allaire, chief executive of Circle—the issuer of USDC and a recent IPO candidate—called the moment a “significant crossroads” for internet-native finance. Circle’s IPO filing, submitted last month, revealed $1.66bn in revenue last year, though profits declined due to rising promotional costs.

Circle is not alone in attempting to ride the regulatory wave. Kraken, another major US crypto platform, is also eyeing a public listing as part of what market watchers describe as a wider shift in sentiment since Trump’s return to office.

Regulatory U-Turn

Trump’s administration has signalled a more crypto-friendly posture in recent months. Since January, the Securities and Exchange Commission has eased off several enforcement cases. Trump himself has declared an ambition to make the US the “crypto capital of the planet.”

That softer stance has emboldened firms and investors alike. “Unless that trifecta of tailwinds falters, dip-buyers are likely to set the tone,” Perfumo added. “Today’s record print is evidence of that.”

Still, not all hurdles have been cleared. The Genius Act must pass both houses of Congress before reaching the president’s desk. Concerns persist about the potential volatility of stablecoin reserves and the broader systemic risks associated with rapid crypto adoption.

But for now, the outlook is bullish. Regulatory clarity, long sought by institutional investors, appears closer than ever, adding fuel to a market already gathering pace.