Bitcoin Price Hits ATH Of $124K, Becomes 5th Largest Asset

Key Highlights:

• Bitcoin price rally into the new price discovery zone, fuels hope of another 80% upside from here.
• U.S. President Trump called for a rate cut to 1%, which could lead to an extended crypto market rally ahead.
• Strong ETF inflows, bullish on-chain data, and renewed institutional demand could serve as catalysts for BTC, moving ahead.

Bitcoin price hit a fresh all-time high of $124,456 earlier today. At the same time, it overtook giants like Alphabet (NASDAQ: GOOG).

BTC is now the fifth-largest global asset with its market cap crossing $2.45 Trillion. Market analysts believe this breakout into the price discovery zone could lead to a rally past $200K.

Bitcoin Price All-Time High Gets Heads Turning

Bitcoin price was rejected at $122,000 earlier this week. Today, it reached a new all-time high of $124,456. Its market cap also hit $2.45 Trillion.

Today’s upside comes with a 30% surge in daily trading volumes to $97 Billion. This suggested that there was strong bullish sentiment among traders.

With today’s rally, Bitcoin becomes the fifth-largest global asset, overtaking tech giant Alphabet (NASDAQ: GOOG). This is a significant milestone.

As the asset, BTC is now below just three tech giants from the Magnificent 7 Group, as per data from Companies Market Cap.

Amid the current Bitcoin price rally, Satoshi Nakamoto holds an estimated net worth of $133.5 Billion. With this, the Bitcoin founder has overtaken tech titan Bill Gates in net worth. As BTC enters the price discovery zone, it will continue to smash new records on multiple fronts.

Bitcoin Price Eyes 80% Upside

Market analysts remain bullish on BTC, expecting it to hit $200K levels by the year-end. Analyst CryptoRover stated that after breaking the previous ATHs of $70,000, the Bitcoin price surged by 80%.

If BTC follows the historical chart patterns, it could easily cross $200K levels by the year-end. The latest $20 Trillion White House project for the Bitcoin and crypto market fuels further optimism.

Currently, on-chain data shows major strength for Bitcoin, as BTC futures open interest has surged 5% to over $83 Billion.

Furthermore, the Coinglass data shows that the recent price rally has led to $116 million in short liquidations. If the BTC price crosses $125,000, a whopping 46 billion of short liquidations will happen.

According to analytics firm Ecoinometrics, Bitcoin’s recent breakout attempt is being supported by strong ETF inflows. The firm’s ETF flow model predicts that Bitcoin will settle slightly above $120,000 by September.

With this, the upper range of estimates reached $131,000. Ecoinometrics noted that risk-on sentiment has returned to the market.

Following major outflows in the first week of August, inflows into spot Bitcoin ETFs have resumed. With institutional demand staying firm, Bitcoin price could likely see further gains moving from here.

Donald Trump Demands Fed Rate Cut to 1%

The crypto market rallied after the US CPI data release earlier this week. This happened amid the hopes of a minimum 25bps rate cut in the September FOMC meeting. During a visit to the Kennedy Center, Trump stated that three to four percentage points should lower interest rates.

Trump stressed that the U.S. economy continues to perform strongly despite the Federal Reserve’s refusal to cut interest rates. Additionally, Trump announced plans to name a new Federal Reserve Chair ahead of schedule.’

However, Jerome Powell’s term does not expire until May next year. He noted that the shortlist for the position has been narrowed down to three or four candidates. On the other hand, US Treasury Secretary Scott Bessent expects 50bps in Fed rate cuts during September’s FOMC.

He asserted that the Federal Reserve would have implemented a rate cut earlier if the economic data had been accurate. Following the US jobs data revision, the pressure on Powell to announce rate cuts is real.

Disclaimer

This article is for informational purposes only and provides no financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your research before making any financial decis