While the market focuses on the sell-off of U.S. Treasury bonds and tepid sales of Japanese government bonds, Bitcoin, often seen as "digital gold," has quietly reached new highs. As investors seek new safe havens, coupled with clearer U.S. regulations, the price of Bitcoin has been climbing daily, and on Thursday, it even set a new all-time record.
According to data from the Coinbase exchange, Bitcoin/USD briefly rose above $109,500 on Thursday, surpassing the previous high of $109,358 set on January 20 this year. On the Binance platform, quotes also reached up to $109,460, exceeding the former high of $109,312. Looking at the more commonly traded BTC/USDT pricing, Coinbase reported a peak of $109,852, setting a new high for the year.
The market capitalization of Bitcoin has surged, exceeding $2.165 trillion for the first time, surpassing Amazon, and becoming the fifth-largest asset globally, trailing only Apple, Microsoft, Alphabet (Google's parent company), and gold.
Weak U.S. Bonds and Crypto Regulations Provide New Momentum
This rise in Bitcoin is closely linked to the massive sell-off of long-term U.S. Treasury bonds. Concerns over the sustainability of U.S. bonds have led some investors to divert funds to alternative assets. Meanwhile, the U.S. Senate has just passed a procedural vote on the "GENIUS" legislation on stablecoin uniform standards, with a full vote expected in the coming days.
The bill is expected to establish regulatory standards for the stablecoin industry, attracting more traditional financial and tech companies. However, it has sparked controversy—by prohibiting stablecoin issuers from paying interest to users, meaning profits from stablecoins will be concentrated with the issuing institutions themselves, such as entities associated with the Trump family. This clause has been openly opposed by Coinbase CEO Armstrong, who believes it will hinder stablecoins from becoming alternatives to traditional bank deposits.
Nevertheless, favorable policies are attracting Wall Street to reassess the value of Bitcoin. JPMorgan CEO Jamie Dimon, who once harshly criticized cryptocurrencies, made a rare concession this week, stating the bank will allow clients to purchase Bitcoin, describing it as a move to "defend choice."
U.S.-China Easing Boosts Market Risk Appetite
Another factor boosting Bitcoin's rise is the positive progress in U.S.-China negotiations in Geneva. The market interprets this as a short-term alleviation of geopolitical risks, opening a "prosperous window" for risk assets. Nexo co-founder Antoni Trenchev stated, "We have moved past the pessimistic expectations of early April, and it is now a time for risk appetite to fully return."
Capital flows also confirm this change. Data shows that ETFs tracking Bitcoin saw a net inflow of over $40 billion last week, with only two days of outflows in May. The official inclusion of Coinbase in the S&P 500 index this month also means global index funds are passively increasing their allocation in "crypto assets."
Corporations Aggressively Accumulate
At the corporate level, several global companies are incorporating Bitcoin into their asset allocation. Strategy company, a Bitcoin "pioneer," already holds Bitcoin valued over $50 billion, taking a dominant position. Cantor Fitzgerald, founded by U.S. Commerce Secretary Lutnick, is joining forces with Tether and SoftBank to establish "Twenty One Capital" to replicate Strategy company's Bitcoin reserve model.
Additionally, GameStop announced in March this year that it would include Bitcoin in its reserve plan. Former "Efficiency Department" co-head Vivek Ramaswamy is exploring creating a Bitcoin reserve company.
According to Bitcoin Treasuries data, as of now, the total amount of Bitcoin held by publicly listed companies worldwide has reached $349 billion, accounting for 15% of Bitcoin's total circulation, with a year-to-date increase of 31%.
Conclusion
As the lines between traditional finance and digital assets become increasingly blurred, Bitcoin is undergoing a structural transformation from a "speculative asset" to a "global asset." With clear policies, rising demand for safe havens, and significant capital influx, Bitcoin may be entering a new cycle of simultaneously increasing its price and status.
