Bitcoin (BTC) Price Hits New All-Time High Above $109,000, Signaling Shift Toward Institutional Adoption

Bitcoin's meteoric rise continued its unstoppable trajectory this week, with the world's largest cryptocurrency hitting a new record high above $109,400

Bitcoin price broke to a new all-time high of $109,400 during U.S. morning trade on Thursday, hitting the milestone rate for the first time in seven months.

The largest and oldest cryptocurrency rose to $109,486 according to the Brave New Coin Bitcoin Liquid Index, surpassing the previous record set just hours before President Trump’s inauguration on January 20.

This latest milestone represents a 46% surge from its April trough induced by mounting fears over global trade war and U.S. tariffs, highlighting Bitcoin’s remarkable resilience and growing institutional acceptance.

At the same time, the current price surge has been largely fueled by unprecedented institutional demand. Spot bitcoin exchange traded funds (ETF) gobbled up $3.6 billion in net inflows in May, signaling renewed confidence among traditional investors.

This marks a dramatic turnaround from earlier in the year when ETFs saw significant outflows, and as of May 16, cumulative inflows into U.S. spot Bitcoin ETFs pulled in more than $2.8 billion.

The iShares Bitcoin Trust (IBIT) has been leading the charge, with BlackRock’s iShares contributed 1,250 Bitcoins to the total inflow, bringing its total Bitcoin holdings to 633,212, worth $66.28 billion.

The sustained institutional buying has created what analysts describe as a more durable foundation for Bitcoin’s current rally compared to previous speculative runs.

Bitcoin: Technical Strength and Price Targets

From a technical perspective, Bitcoin’s strength is evident in its sustained upward momentum. Bitcoin hit a new all-time high of $109,458 on Binance and reached a peak of $109,678 on Bitstamp.

This marks seven consecutive green weekly candles in a row since the price bounced from its swing low of $74,500.

If Bitcoin closes the current weekly candle above $106,500 on May 25, it will mark its longest streak of consecutive green weekly closes since October 2023, highlighting the strength of the current bullish momentum.

Capitalization metrics are also reaching new heights, with Bitcoin’s market cap and realized cap also achieving new highs of $2.17 trillion and $911.5 billion, according to Glassnode data.

Several prominent analysts are calling for significantly higher prices throughout 2025:

• Ben Lilly, an analyst at the crypto hedge fund Arcaro, is targeting a price of $135,000 by the end of the year.

• Alphractal CEO João Wedson sees potential for Bitcoin to reach $300,000 in 2025.

• Standard Chartered bank is also projecting a year-end price of $110,000 for Bitcoin.

At the same time, the crypto community’s price targets for Bitcoin remain remarkably bullish.

Corporate treasury adoption continues to provide fundamental support for Bitcoin’s price. A slew of bitcoin-focused treasury companies, including Michael Saylor’s MicroStrategy and newly-launched firm Twenty One Capital added to the buying spree, helping lift BTC to a new record.

This corporate treasury trend represents a structural shift in how businesses view Bitcoin as a legitimate treasury asset, providing additional buying pressure beyond traditional retail and institutional investors.

Positive regulatory shifts in the U.S. have further supported the market, lending legitimacy of digital assets as an asset class for investors. Additionally, the U.S. Senate this week advanced a bill to regulate stablecoins while several states and sovereign nations are moving forward with legislation to create bitcoin reserves.

The technical breakout has been accompanied by significant forced buying from short liquidations. Bitcoin on Binance recorded its largest short liquidation yet over the past 24 hours.

Shifting sentiment saw short traders losing $66.3 million within this period as Bitcoin jumped from $103,195 to $105,535.

Short liquidation tends to open the door for further market rallies, as it indicates likely new capital inflow into the market, fueling momentum, according to market analysis.

Potential Headwinds on the Horizon

Despite the bullish momentum, some analysts are warning of potential selling pressure ahead.

Market data suggests investors may be moving their Bitcoin because new market data suggests it is overbought, with Bitcoin crossing the 70-line mark on the chart, meaning its current market price is far higher than its intrinsic value.

Additionally, Alphractal CEO João Wedson recommended caution and patience for investors, noting that BTC heatmaps reveal price movement toward high-leverage zones, suggesting market makers may target overconfident traders for liquidations.

What sets this rally apart from previous Bitcoin surges is its apparent institutional foundation.

Analysts suggested that the current rally is more sustainable than previous ones, citing favorable financial conditions, stablecoin flows and