Bitcoin Surges 10% to $100,000, Eyes $110,000 on Institutional Demand

Bitcoin's price has recently surpassed the $100,000 mark, sparking speculation about a potential new all-time high above $110,000 in May. According to Bitcoin Suisse, a crypto custody service provider, Bitcoin's bullish momentum is driven by its ability to perform well in both risk-on and risk-off environments since the US presidential elections. This dual-purpose investment capability has allowed Bitcoin to thrive in various market conditions, acting as a macro hedge in risk-off climates and a high-conviction growth asset in risk-on scenarios.

Bitcoin's Sharpe ratio of 1.72, second only to gold, underscores its maturity as an asset, offering superior risk-adjusted returns. This robust score highlights Bitcoin's growing maturity as an asset, making it an attractive investment option for both institutional and retail investors. The high Sharpe ratio reflects Bitcoin's ability to deliver superior risk-adjusted returns, making it a compelling investment option in the current market environment.

Over the past two quarters, Bitcoin has excelled as a dual-purpose investment, benefiting from geopolitical tensions and de-dollarization concerns in risk-off climates. In risk-on scenarios, it has behaved as a high-conviction growth asset, with over 86% of its supply in profit. This dual-purpose investment capability has allowed Bitcoin to maintain a positive net return through various key phases since November 2024.

Bitcoin Suisse head of research Dominic Weibei said, "In this environment, Bitcoin has emerged as the Swiss army knife asset. Whether equities rally or bonds crumble, BTC trades on its supply-demand fundamentals, delivering a win-win profile that traditional assets simply can't offer." This dual-purpose investment capability has allowed Bitcoin to thrive in various market conditions, making it an attractive investment option for both institutional and retail investors.

On May 7, Bitcoin spot taker cumulative volume delta (CVD) over 90 days turned buyer dominant for the first time since March 2024. This shift to "taker buy dominant" aggressive buying pressure, driven by institutional interest and spot Bitcoin ETF inflows, reflects buyer or seller activity over a prolonged period. This structural change in demand and Bitcoin's robust Sharpe ratio could allow BTC to capitalize on current market conditions. As corporations and institutions rush into Bitcoin, a supply squeeze may propel prices past $110,000 in May.

According to the analyst's forecast, Bitcoin is gearing up for the next leg of an "acceleration phase," characterized by "high volatility and high profit." This historical tendency to enter explosive price surges could allow Bitcoin to capitalize on current market conditions, potentially propelling prices past $110,000 in May.

Institutional interest in Bitcoin has surged, with Bitcoin ETFs seeing massive inflows of over $1.3 billion in net investments this month alone. Major institutions and funds are re-entering the market ahead of a potential breakout. On-chain data also confirms an increase in whale accumulation, with Bitcoin being pulled off exchanges and held in cold storage—a typically bullish signal.

Technical analysts are eyeing the psychological resistance of $100,000, and if broken convincingly, Bitcoin could enter price discovery with targets set at $110,000–$120,000 in the near term. The current all-time high for Bitcoin stands at $109,000, recorded in January 2025. With today’s price action tapping $100,500 on some exchanges before a slight correction, bulls are clearly in control.

The sentiment surrounding Bitcoin has shifted dramatically, with the cryptocurrency once again attracting institutional flows, mainstream media attention, and retail FOMO. As the perfect storm of macroeconomic drivers converges, Bitcoin may not just be aiming for $100,000—it could be preparing for much more. The rising fear and greed index is a sign that Bitcoin will hit its all-time high and possibly cruise to $110,000.