Bitcoin Hits $123,000 All-Time High Driven by Political Support and Institutional Investment

Bitcoin has maintained its bull run, reaching an all-time high of over $123,000 in the early hours of today. The asset, currently trading at a little below $120,000, is enjoying unprecedented political support, sweeping regulatory momentum, and a surge in institutional investment. This milestone marks a defining moment for crypto, as it transitions from a niche asset to a cornerstone of global financial markets, driven by a unique confluence of policy, capital, and market dynamics.

Nigel Green, CEO of deVere Group, predicts that Bitcoin is on the cusp of hitting $125,000 this week. “Bitcoin has blasted through $122,000, and all the indicators point to $125,000 in sight this week,” Green declared. “It’s being powered by deep political backing, new regulatory clarity, and sustained institutional inflows. This is a powerful combination we haven’t seen at this scale before.”

The cryptocurrency’s meteoric rise, doubling its value over the past year to a market cap exceeding $2.3 trillion, underscores its growing dominance in the $3.8 trillion global digital asset space. What sets this rally apart is its grounding in structural shifts rather than speculative frenzy. Green emphasizes that “this is not crypto on the fringe anymore. This is front and centre of US financial policy.”

The catalyst for this rally is a potent mix of pro-crypto rhetoric from U.S. President Donald Trump, who has branded himself the “crypto president,” and a series of legislative proposals set to reshape the regulatory landscape for digital assets in the United States. Trump’s vocal support for crypto has electrified markets. Once a sceptic who dismissed crypto as a “scam,” Trump has embraced digital assets, promising to make the U.S. the “crypto capital of the planet” and advocating for a national Bitcoin reserve.

His administration’s actions, including the nomination of crypto advocate Paul Atkins as SEC chair, have bolstered investor confidence. Green notes, “Trump is championing it, lawmakers are acting on it, and Wall Street is all-in.” This week, the U.S. House of Representatives is debating critical crypto legislation, including the Genius Act, which aims to establish a federal framework for stablecoins. This bill, expected to pass with bipartisan support, represents one of the most significant regulatory steps for crypto in U.S. history.

Other proposed legislation, such as the Clarity Act, seeks to define cryptocurrencies as commodities rather than securities, potentially easing restrictions for platforms and investors. These moves signal a thawing of the industry’s historically strained relationship with Washington, paving the way for broader adoption.

The rally is further amplified by record-breaking inflows into U.S. spot Bitcoin exchange-traded funds (ETFs), with giants like BlackRock and Fidelity scaling up their exposure. Green asserts, “Wall Street has crossed the Rubicon. The capital is committed. The infrastructure is there.” This institutional embrace is not limited to ETFs; corporate treasuries, such as MicroStrategy, which now holds 601,550 BTC, and even nation-states like Bhutan and El Salvador are accumulating Bitcoin as a reserve asset.

Bitcoin’s price trajectory reflects this structural shift. After breaking the $100,000 barrier on December 5, 2024, and hitting $109,588 in January 2025, the cryptocurrency has sustained its bullish momentum, with its latest all-time high of $123,000. Technical indicators, such as the Relative Strength Index (RSI) at 66 and a bullish MACD crossover, suggest continued upward momentum, with analysts eyeing a Fibonacci extension target of $127,287.

While deVere Group’s $125,000 prediction for this week appears within reach, Green cautions that “investments of this magnitude don’t move in straight lines.” He anticipates a potential sell-off after reaching $140,000, followed by consolidation before further gains toward a $150,000 target within this market cycle. Other analysts share this bullish sentiment, with forecasts ranging from $150,000 to $200,000 by year-end, driven by sustained ETF inflows, favourable regulations, and macroeconomic factors like potential Federal Reserve rate cuts.

However, risks remain. Geopolitical tensions, unexpected regulatory hurdles, or profit-taking could trigger corrections. Yet, Bitcoin’s growing institutional backing and constrained supply, nearing 95% of its 21 million total supply, provide a strong foundation for long-term growth. Green views the $125,000 milestone as a harbinger of Bitcoin’s unstoppable ascent. “Once the US locks in a formal framework, we expect others to follow. This is how the tipping point begins,” he says. With nations like El Salvador adopting Bitcoin as legal tender and others like India reconsidering crypto policies, the global financial landscape is shifting.