Bitcoin is currently trading around $121,350 as of the latest market update on (12:25PM, GMT +5:30) Monday afternoon, showing sustained strength after hitting a record high of $122,571 earlier in the day. The cryptocurrency has gained nearly 10% in the past week, with analysts observing high buying volumes across both U.S. and global exchanges. The price action indicates that bullish momentum remains intact, with investors closely watching how the week’s regulatory developments may shape the next leg of the rally.
In a historic rally, Bitcoin has crossed the $120,000 threshold, marking a new all-time high. The world’s most valuable cryptocurrency has gained significant momentum over the past weeks, primarily driven by robust institutional inflows, a weakening dollar, and growing optimism around favorable crypto legislation in the United States.
This recent Bitcoin price surge comes amid what market participants are calling “crypto week” in Washington, where U.S. lawmakers are actively engaging in legislative discussions that could provide much-needed regulatory clarity to the digital asset industry. Analysts suggest the anticipation surrounding clearer rules for institutional custodianship, spot ETF approvals, and stablecoin frameworks is playing a pivotal role in boosting investor confidence.
Leading asset management firms, including BlackRock, Fidelity, and Ark Invest, have been ramping up their crypto exposure, particularly in spot Bitcoin ETFs which have seen consistent net inflows for over six consecutive weeks. As of July 13, spot Bitcoin ETFs in the U.S. have collectively drawn more than $18 billion in cumulative inflows, with BlackRock’s iShares Bitcoin Trust alone accounting for over $5.6 billion.
Market strategists note that macroeconomic uncertainty, including persistent concerns about inflation and central bank policies, has also led investors to view Bitcoin as a long-term hedge. The recent softening of the U.S. dollar index and speculation that the Federal Reserve may not hike interest rates in the coming quarter have added fuel to Bitcoin’s rally.
Adding to the bullish sentiment is the growing expectation that the U.S. House of Representatives could move forward with pro-crypto legislation this week. A draft version of the Financial Innovation and Technology for the 21st Century Act (FIT21) is reportedly gaining bipartisan support, which could establish a clearer jurisdictional split between the SEC and CFTC, and create a friendlier environment for crypto businesses in the United States.
The broader crypto market has also responded positively. Ethereum crossed the $6,800 mark while altcoins like Solana and Chainlink posted double-digit percentage gains in the past 24 hours. The total market capitalization of the crypto sector now exceeds $3.9 trillion, closing in on its previous 2021 peak.
On the technical front, Bitcoin’s upward movement is supported by a strong breakout above the $115,000 resistance level. Analysts warn, however, that extreme bullishness in the market could trigger short-term corrections. The Relative Strength Index (RSI) is approaching overbought territory, suggesting volatility may rise in the coming sessions.
Despite the speculative nature of the crypto market, long-term believers argue that this rally reflects a maturing asset class entering mainstream portfolios. Several sovereign wealth funds and pension funds are reportedly exploring crypto allocations, adding further credibility to the thesis that Bitcoin is here to stay as a store of value and digital alternative to gold.
With geopolitical tensions, inflation concerns, and policy uncertainty still looming globally, Bitcoin’s momentum appears poised to continue in the near term. As institutional players deepen their stakes and legislative clarity approaches, this Bitcoin price surge could mark the beginning of a new phase in the asset’s global adoption.
Also Read: India Crypto Policy Paper July 2025 Offers Clarity and New Directions for Web3 Economy
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