Bitcoin Hits New All-Time High, Surpassing $120,000 Amid ETF Buzz
Bitcoin has just set a new milestone, breaking the $120,000 barrier for the first time. This surge is attributed to significant investments into U.S.-listed spot bitcoin ETFs, which have captured the interest of both institutional and retail investors.
ETF Demand Pours In
As of Monday morning, Bitcoin trades just over $120,000, marking a more than 4% increase within 24 hours. This upswing comes after a noteworthy reversal this month, when ETF inflows began trending positively again. Last Thursday, bitcoin ETFs reported their most successful day of inflows for 2025, at an astonishing $1.18 billion. BlackRock’s iShares Bitcoin Trust and Fidelity’s Wise Origin Bitcoin Fund led the way, with nearly $300 million added just on Friday alone.
“$120k is nothing. Exponential curves move faster in higher price bands. Bitcoin (log) has remained on the same trajectory since 2023. It’s $200k by year-end, then $1m by 2028. Don’t paperhands this. There won’t be another chance in your lifetime – story of your generation.”
— TechLead (@techleadhd) July 13, 2025
This marks the second consecutive week of strong inflows into spot bitcoin ETFs, a notable recovery following a lackluster June. Analysts suggest that this renewed enthusiasm from institutional buyers indicates increasing confidence in bitcoin as a sustainable asset, particularly against a backdrop of rising global liquidity and uncertainty in interest rates.
A Look at the Bigger Picture
The recent climb follows closely on the heels of the last halving event, occurring just 90 days ago, which typically signals the initiation of bullish trends. Historical patterns show bitcoin achieving new heights in subsequent months due to a tighter supply mechanism and renewed market interest.
A general shift in the macroeconomic landscape is also in play. Investors are increasingly anticipating that the Federal Reserve may have completed its cycle of interest rate hikes and might move towards reductions in the next six to nine months. Lowering rates generally favors risk-sensitive assets like bitcoin, especially when coupled with heightened ETF demand.
What This Means for Investors
The recent upswing has reignited conversations about bitcoin’s potential trajectory. Some bullish investors are eyeing $150,000 as the next significant target, while others caution that the market may be overextending itself. With bitcoin already rising over 50% year-to-date, there is a growing sentiment of caution, especially if ETF inflows diminish or macroeconomic conditions fluctuate.
Nonetheless, many investors believe that the introduction of regulated, easily accessible investment options such as ETFs is fundamentally altering the perception of bitcoin. Once regarded as a volatile fringe asset, it is now being integrated into more diverse portfolios and long-term investment strategies.
Ethereum and Altcoins Follow
The rally is not exclusive to bitcoin; Ethereum has also surged, crossing $6,500 for the first time since early 2022. Other altcoins such as Solana, Avalanche, and Chainlink have also seen double-digit gains over the past week. However, the primary focus for now remains on bitcoin, as it is at the center of ETF investment inflows and continues to serve as a market indicator.
What’s Next
If demand for ETFs remains robust and macroeconomic conditions support further growth, bitcoin may venture further into uncharted waters. For the moment, the $120,000 threshold serves as more than just an impressive number; it signifies a pivotal kind of maturation for the cryptocurrency market, potentially shifting away from hype and towards legitimate adoption via regulated avenues.
Key Takeaways:
- Bitcoin has achieved a new peak above $120,000 thanks to accelerated spot ETF inflows, attracting traction from institutional and retail investors.
- BlackRock’s iShares and Fidelity’s Wise Origin funds have been instrumental, garnering nearly $300 million in a single day, marking two successive weeks of positive net inflows.
- This surge comes just 90 days post-halving while expectations grow that the Fed might shift towards interest rate reduction.
- Analysts have divided opinions: while some predict $150,000 as a possible next step, others warn of momentum fading if ETFs lose appeal or macros shift.
- The rally includes Ethereum and other altcoins, but bitcoin continues to lead, drawing mainstream interest through regulated ETFs.
