Inbizzy, – Bitcoin surged to a fresh record high on Thursday as investor confidence grew that the US Federal Reserve (Fed) is poised to cut interest rates in the near term. The world’s largest cryptocurrency touched US$124,002.49 in Asian trading, surpassing its previous peak.
Ether (ETH) also climbed to US$4,780.04, its highest level since 2021. Gains in these two leading assets pushed the global cryptocurrency market capitalization to US$4.18 trillion, up sharply from around US$2.5 trillion at the end of 2024.
Monetary Policy and Pro-Crypto Regulation Boost
the rally in Bitcoin and other crypto assets is being fueled by several factors . First, there is growing market expectation that the Fed will cut interest rates at its upcoming September 17 meeting, with some investors betting on a 50-basis-point reduction.
Second, the US government has introduced pro-crypto measures, including an executive order allowing digital assets such as Bitcoin to be included in 401(k) retirement plans. Analysts believe this policy could significantly widen access for both institutional and retail investors.
Potential Path to US$150,000
IG Markets analyst Tony Sycamore believes Bitcoin’s uptrend still has substantial room to run. He notes that technically, a sustained break above US$125,000 could open the way to a US$150,000 target.
Institutional inflows have also strengthened the market’s momentum. Publicly traded companies such as MicroStrategy and Block Inc. have been steadily increasing their Bitcoin holdings in recent months, adding further weight to bullish sentiment.
Weakening Dollar Adds to Crypto’s Appeal
In addition to monetary policy and regulation, the US dollar’s recent slide to multi-week lows has enhanced the appeal of alternative assets like cryptocurrencies. With the greenback under pressure, global investors are increasingly seeking higher-yield opportunities, and Bitcoin has emerged as a preferred choice.
A combination of the Fed’s potential policy easing, supportive regulation that broadens digital asset access, and rising institutional participation is driving positive momentum in the crypto market. Traders are now watching closely to see whether Bitcoin can break the psychological barrier of US$125,000, potentially paving the way for a run toward US$150,000 in the coming months.
