Bitcoin soared to an all-time high of $112,000 late Wednesday, driven by growing institutional interest and intensified risk appetite as traditional financial institutions deepen their exposure to the world’s largest cryptocurrency.
The original cryptocurrency rose as much as 3.1% to $112,009, pushing its gain this year close to 20%.
Bitcoin crossed an all-time peak of $112,000 before later trading at $111,259 on the day. The flagship digital asset has climbed more than 18% year-to-date, defying macroeconomic headwinds and geopolitical volatility.
The latest rally comes just days after former President Donald Trump announced sweeping new tariffs on five emerging markets: Malaysia, Kazakhstan, South Africa, Myanmar, and Laos, imposing rates of up to 40%.
Japan also saw its tariff rate raised to 25%, with the new levies scheduled to take effect on August 1.
Market analysts say the administration’s crypto-friendly policies are helping unlock new pools of institutional capital and driving broader adoption of digital assets.
Adding to the momentum, Trump Media & Technology Group (DJT.O), led by members of the Trump family, filed plans with U.S. regulators to launch a multi-token crypto exchange-traded fund (ETF). The proposed ETF would include allocations in bitcoin, ether, solana, and ripple, highlighting growing mainstream interest in the sector.
The rally extended beyond bitcoin, boosting other major cryptocurrencies and crypto-linked stocks.
According to Coinglass, there were nearly $340 million in liquidations involving bitcoin short positions on various exchanges in the four hours around the time the new all-time high was established
Many bitcoin holders are still holding onto hope that the U.S. government will establish a strategic bitcoin reserve before the end of the year, though the perceived odds of that happening have fallen substantially this year, according to Polymarket.
Crypto exchange Coinbase Global (COIN) and bitcoin treasury company Strategy (MSTR) were both up roughly 5% on the day. Stocks generally rose on Wednesday, with the tech-focused Nasdaq Composite finishing at its own high.