Bitcoin surged to a new all-time high during early Asian trading on Thursday, breaking past the $124,000 mark and briefly hitting $124,500 before pulling back.
The rise comes as US equities continue their upward momentum, with both the S&P 500 index and the tech-focused Nasdaq achieving fresh records this week.
The cryptocurrency’s latest rally is largely attributed to favorable US legislation under President Donald Trump, a vocal supporter of the digital asset industry.
Trump recently moved to lift restrictions that had prevented banks from working with companies flagged for reputational risk, a category in which crypto firms were often included. Market analysts say the change has created a more welcoming environment for cryptocurrency businesses and investors alike.
Samer Hasn, a senior market analyst at XS.com, described the current conditions as “highly favorable fundamentals” for the crypto sector.
He noted that Trump may seek to further accelerate the integration of cryptocurrencies into the national financial system, given his administration’s policy stance and his family’s growing ties to the industry.
The rally has also been fueled by the actions of large bitcoin holders, commonly known as “whales,” as well as high-profile corporate purchases.
Notably, Trump’s media company and Elon Musk’s electric carmaker Tesla have joined the list of major firms acquiring significant bitcoin reserves.
