Bitcoin Surpasses Alphabet, Hits $1.86 Trillion Market Cap, Driven by ETF Investments

Bitcoin has achieved a significant milestone, surpassing Alphabet, the parent company of Google, to become the fifth most valuable asset by market capitalization. On April 23, 2025, Bitcoin's market cap reached $1.86 trillion, driven by a surge in its price to $94,000. This increase was fueled by substantial investments in Bitcoin exchange-traded funds (ETFs), with $936 million invested in a single day. The approval of spot Bitcoin ETFs earlier this year has allowed traditional investors to access the asset, drawing interest from large institutions.

This growth in Bitcoin's market cap is not an isolated event but is part of a broader trend driven by global liquidity. The global money supply, measured by M2, has reached an all-time high, which has historically correlated with bull markets for Bitcoin. According to analysts, there is an 84 percent correlation between Bitcoin’s price and the M2 money supply. This trend suggests that if liquidity continues to expand, Bitcoin's price could reach $108,000 by June 2025. The Federal Reserve's indication that it will provide monetary stimulus if markets weaken further supports this upward trajectory.

Regulatory developments also play a crucial role in Bitcoin's growth. The incoming chair of the Securities and Exchange Commission (SEC) has prioritized creating a strong foundation for digital assets, which will bring clarity and stability to the cryptocurrency market. This regulatory support, combined with the increasing institutional adoption of Bitcoin, is laying the groundwork for a resilient and integrated financial ecosystem. The cryptocurrency's ability to breach resistance levels and attract both institutional and retail investors further supports its positive outlook.

Bitcoin's rise to the fifth position in the global asset rankings is a testament to its growing strength as a leading digital currency and its increasing acceptance among investors worldwide. This milestone reflects the evolving policy environment around digital assets and the growing institutional conviction in Bitcoin's potential to become a foundational pillar of the global economy. As the policy environment continues to evolve, it is likely that we will see further growth and adoption of cryptocurrencies like Bitcoin.