Bitcoin Closes Week Above $106,000, Near All-Time High

Bitcoin has achieved a significant milestone, closing the week above $106,000, marking its highest-ever weekly close. This surge brings the cryptocurrency within 3% of its all-time high of $109,358, which was set in January. The digital asset reached as high as $107,000 on Sunday before settling around $104,500, with analysts viewing this pullback as a healthy consolidation.

This price action mirrors Bitcoin’s performance in November when it added $30,000 in just three weeks. So far in May, Bitcoin has gained approximately $12,000, climbing from $94,000 to over $106,000 before its recent pullback. The surge in Bitcoin's price is driven by robust investor appetite for Bitcoin investment products, with US-listed spot Bitcoin ETFs recording net inflows of $608 million. BlackRock’s iShares Bitcoin Trust led the market, pulling in more than $840 million, exceeding the combined net inflows of all other ETF products.

Corporate demand for Bitcoin continues to grow steadily. MicroStrategy, the largest corporate holder of BTC, recently announced the acquisition of an additional 13,390 BTC for approximately $1.3 billion. This brings the company’s total holdings to 568,840 BTC. Their aggressive accumulation strategy sets the pace for institutional adoption. A growing number of companies have either adopted Bitcoin or announced plans to hold it as a strategic reserve asset. Many are expected to continue purchasing BTC in the months ahead. The global race among nations to establish sovereign Bitcoin reserves is also anticipated to accelerate, further tightening supply in the coming years.

According to the analyst's forecast, demand is now outpacing supply. With miners projected to produce just 165,000 BTC this year, public companies and ETFs have already acquired more than that amount. This structural imbalance is viewed as a key driver that could propel Bitcoin beyond current levels. The analyst sees $200,000 as the next major target. BitMEX co-founder Arthur Hayes shared his outlook, believing Bitcoin needs to break through $110,000 and rally toward the $150,000–$200,000 range on rising trading volume for the altcoin season to begin. “I think that happens sometime in the summer or early third quarter, and then the rotation starts into various altcoins,” Hayes noted. Hayes expects Bitcoin to climb toward $200,000 in its next surge and reach $250,000 by the end of the year. He projects Bitcoin will hit $1 million by 2028.

Unlike the explosive altcoin rally of 2021, where nearly every token surged regardless of fundamentals, Hayes believes the next cycle will likely be more selective. Analyst Willy Woo examined Bitcoin’s compound annual growth rate (CAGR), noting that it trends downward as the network continues to store more capital. “BTC is now traded as the newest macro asset in 150 years, it’ll continue to absorb capital until it reaches its equilibrium,” he said. Woo compared it to long-term monetary expansion of 5% and GDP growth of 3%, estimating that Bitcoin’s annual growth rate will be around 8% in approximately 15 to 20 years when it has settled.

Bitcoin’s six consecutive weekly gains have been fueled by persistent inflows into spot Bitcoin ETFs and steady corporate demand. According to analysts, “This is not a melt-up—it’s a structurally supported move. As long as ETF and institutional flows persist and macro stays stable, dips are likely to be brief and bought aggressively. The path of least resistance remains higher.” Bitcoin’s steady ascent toward new all-time highs reflects growing mainstream acceptance and increasing institutional commitment to the digital asset.