Bitcoin News Today: Bitcoin Surges Past $124,000 All-Time High on Fed Rate Cut Hopes and Strong Institutional Demand

Bitcoin surged past $124,000 on Thursday, reaching a new all-time high as the cryptocurrency market capitalization also hit a record [1]. This milestone was driven by expectations of a potential U.S. Federal Reserve rate cut and improved macroeconomic conditions, which have reduced the opportunity cost of holding risk assets like digital currencies [2]. The price movement came after a volatile session in which Bitcoin traded as low as $119,000 earlier in the day before bouncing back to exceed its previous peak of $123,300 set in mid-July [3].

The rally pushed Bitcoin's market capitalization above $2.46 trillion, surpassing Google (Alphabet) and securing its position as the world’s fifth-largest asset by market capitalization [1]. Analysts have highlighted the role of institutional capital and corporate treasury activity in amplifying the supply squeeze for Bitcoin, with over 3.64 million BTC—worth approximately $447 billion—now held by public and private companies, as well as sovereign entities [4]. This consolidation of supply has added upward pressure to the price.

Ethereum also experienced strong momentum, reaching a four-year high of $4,770 during the Asian session. The asset is now within 2.5% of its 2021 all-time high, with analysts noting that turning $4,630 into support will be key to confirming further upside [6]. On-chain data showed increased network activity, with Ethereum processing 1.875 million transactions in a single day, signaling growing adoption and utility [6].

Bitcoin dominance, a metric that measures the proportion of total crypto market capitalization held by Bitcoin, has dipped below 60%, potentially indicating the start of an “altseason” as smaller cryptocurrencies gain attention [7]. This shift in market dynamics suggests broader participation and diversification in the crypto space.

Looking ahead, some analysts have made price forecasts. ‘Rekt Capital’ identified $126,000 as a pivotal level, stating that a convincing breakout could propel Bitcoin to much higher levels [3]. Venture capitalist Chris Burniske predicted a peak for Bitcoin in October, estimating a potential high of $142,690 [5]. He also suggested Ethereum could reach $6,900 to $8,000 and Solana could hit $420 during the same period. Burniske emphasized that the strength of price action in the coming months will determine whether the bull market continues or faces a correction [5].

The ongoing rally reflects broader confidence in the crypto ecosystem, supported by regulatory progress and macroeconomic tailwinds. As the market continues to mature, further clarity from central banks and global regulators will likely play a critical role in shaping the trajectory of digital assets in the coming months.

Source:

[1] https://coinmarketcap.com/community/articles/689d6c19b20e7a74aa5a39fc/

[2] https://en.cryptonomist.ch/2025/08/14/best-crypto-to-buy-now-with-bitcoin-at-record-highs/

[3] https://cryptopotato.com/record-transaction-demand-level-drive-eth-rally-toward-new-price-peak/

[4] https://cryptorank.io/news/feed/a144d-bitcoin-price-surges-near-all-time-high-btc-poised-to-break-123000

[5] https://cryptonews.com/news/crypto-price-prediction-today-13-august-xrp-pump-bitcoin-cash/

[7] https://cryptorank.io/news/sosovalue