Bitcoin Surges to $110,000 All-Time High: A Milestone on the Road to $200k

Bitcoin Breaks Records as Industry Celebrates

On May 21, Bitcoin soared from approximately $105,000 to reach a new all-time high of $109,496 on Coinbase, marking a 4.28% increase within 24 hours. As of May 22, Bitcoin's price has climbed further to $110,223, with a market capitalization of $2.18 trillion, reflecting a 3.67% increase in the past day.

This historic milestone was met with widespread celebration across the crypto world. Former U.S. President Donald Trump expressed his sentiments on social media, posting, "BITCOIN ALL TIME HIGHS, ENJOY!!"

Meanwhile, Bitcoin continues to set new all-time highs, continuing its climb toward the $200,000 target projected by BitMEX co-founder Arthur Hayes.

Institutional Momentum Fuels Bitcoin's Ascent

The recent surge in Bitcoin's price to new all-time highs can be attributed to several key factors driving the market.

Firstly, there has been increasing acceptance of cryptocurrencies on Capitol Hill and Wall Street, exemplified by the milestone event of the U.S. Senate advancing the GENIUS Act, which has bolstered investor confidence and led to significant inflows from institutional investors. The top 85 companies worldwide collectively hold more than 800,000 Bitcoins, representing over 3.8% of Bitcoin’s total supply of 21 million coins. This institutional interest has been a major catalyst in pushing Bitcoin's price upward.

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

The price of bitcoin has also been supported by surging demand from Bitcoin Treasuries, publicly traded companies that use proceeds from equity sales to purchase bitcoin for corporate treasuries. Michael Saylor’s Strategy (MSTR), which originated the scheme, purchased $765 million worth of Bitcoin last week, bringing the value of its Bitcoin holdings to more than $63 billion.

Additionally, a recovery in the stock market has also contributed to the positive sentiment surrounding Bitcoin, as investors seek alternative assets to diversify their portfolios.

Traders' Battle at the Peak

On May 21, @lookonchain reported that address "bc1qcp" purchased an additional 1,500 Bitcoins, worth approximately $160 million, bringing its weekly total to 6,111 Bitcoins, valued at $651 million. This accumulation pushed the address's holdings to 22,223 Bitcoins, worth $2.37 billion, showcasing robust institutional demand.

Meanwhile, renowned trader James Wynn demonstrated his high-frequency trading strategy. According to on-chain analyst @ai_9684xtpa, he reduced his long position to $268 million earlier on May 21, but to increase it to $700 million a few hours later. After Bitcoin reached new highs, Wynn further expanded his position to $1.12 billion.

In contrast, a high-profile whale on Hyperliquid faced multiple liquidations and has already incurred losses amounting to $5.56 million, highlighting the stark difference in outcomes amid the market's extreme volatility.

Market Reactions and Expert Insights

Michael Saylor, a prominent Bitcoin advocate, remarked, "No one has ever lost money buying Bitcoin," reinforcing the asset's long-term value proposition. However, while the celebrations continue, attention is now shifting to Bitcoin's future trajectory.

Looking ahead, experts foresee a potential continuation of Bitcoin's upward momentum. Predictions for 2025 range from $135,000 to $320,000, with many citing institutional adoption, regulatory clarity, and macroeconomic factors as key drivers. According to a previous analysis by QCP Capital, once the price successfully surpasses its all-time high, it could trigger a new wave of FOMO (Fear of Missing Out), attracting sidelined capital into the market and further driving up the price of Bitcoin.

Adding to the discourse, CryptoQuant analyst Axel Adler Jr noted sell-off pressures might emerge around $126,000, driven by speculators who entered the market at $84,000. Moreover, spot ETF investors could begin liquidating, potentially triggering a market correction. The attached chart below provides a visual representation of Bitcoin's price trajectory and the STH MVRV analysis, offering insight into the market's dynamics:

Bitcoin Pizza Day Celebration

As the crypto world celebrates this historic achievement, the timing couldn't be more fitting, coinciding with Bitcoin Pizza Day. May 22 marks the 15th anniversary of "Bitcoin Pizza Day," a day that commemorates the groundbreaking transaction in 2010 when programmer Laszlo Hanyecz used 10,000 BTC to purchase two pizzas, valued at approximately $40 at the time. Fast forward to today, with Bitcoin surpassing the $110,000 mark to reach a new all-time high, the value of the BTC spent on those pizzas now stands at nearly $1.1 billion.

This iconic transaction is widely regarded as Bitcoin's first use in a real-world goods exchange, cementing its place in history and earning May 22 its special status within the crypto community. BlockFlow joins the global crypto community in celebrating this milestone with a slice of pizza and a toast to the future. As Bitcoin and the broader cryptocurrency market continue to climb, we look forward to sharing more milestones—and more pizzas—with you. Enjoy!