As of 2pm Thursday (AEST), bitcoin hit a new record high of US$111,691.50 following a steep ascent since 9 April, when Donald Trump significantly rolled back “Liberation Day” tariffs, pushing the coin’s market capitalisation well beyond US$2 trillion.
According to industry observers, bitcoin’s latest surge is being driven by an ongoing wave of institutional flows into spot bitcoin exchange-traded funds (ETF), a global hunt for “blue chip” alternatives, and a regulatory environment that is becoming increasingly supportive, particularly in the US.
“Bitcoin’s climb past US$110,000 reflects how far the asset has come in terms of trust, accessibility and maturity,” said James Quinn-Kumar, director of community engagement at Binance Australia and New Zealand.
“It’s no longer just for early adopters or crypto ‘whales.’ Bitcoin has become a strategic asset for institutions, companies and everyday investors alike. This milestone firmly cements its place in the financial mainstream.”
Similarly, Caroline Bowler, CEO of BTC Markets, said bitcoin’s rise reflects “a mature interest in digital assets worldwide”, marking a clear departure from the speculative mania of past cycles.
“Investor sentiment has shifted decisively, reflecting institutional-style allocations,” Bowler said.
Spot bitcoin ETFs – approved by the US Securities and Exchange Commission (SEC) in early 2024 but long established in Australia – have pulled in more than US$431 billion in net inflows during the first quarter of 2025.
In the US, flows have been particularly strong into products like BlackRock’s IBIT, which recently attracted over US$600 million.
Meanwhile, Australian-listed bitcoin ETFs have seen $148 million in inflows so far this year, more than doubling the $68 million recorded over the same period in 2024.
According to Binance, global institutional giants such as Abu Dhabi’s sovereign wealth fund and the Swiss National Bank have ramped up their bitcoin exposure through these regulated vehicles.
But while spot ETFs are helping democratise access to the cryptocurrency space, macroeconomic conditions are also fuelling the rally.
“Easing US–China trade tensions are lifting risk appetite,” Bowler said. “Here in Australia, interest in regulated digital access is growing.”
Binance also pointed to “bitcoin’s growing correlation with gold” as a factor supporting its recent run, reinforcing its position as a hedge against inflation and broader macroeconomic risk.
“It’s hard to think of a better illustration of bitcoin’s rise,” Quinn-Kumar added, alluding to Bitcoin Pizza Day – which pays homage to a man who, back in 2010, bought two pizzas for 10,000 BTC.
“In just 15 years, we’ve gone from pizza purchases to portfolio allocations. That’s a signal of profound market evolution,” he added.
Bowler said she is confident bitcoin’s “next growth phase” will be “sustained and widespread”.
DigitalX portfolio manager Alex Nagorskii echoed that view, noting the coin faces “no clear resistance above its all-time highs”.
“Bitcoin could see a surge similar to gold’s recent rally, both driven by comparable macroeconomic narratives,” Nagorskii said.
Australian ETF provider Global X recently upgraded its year-end price target for bitcoin from US$150,000 to US$200,000.
In a statement last Thursday, Global X investment strategist Justin Lin said institutional confidence, a favourable Trump administration, and global de-dollarisation trends are all converging to support bitcoin’s ascent.
“Recent geopolitical developments and global investor diversification away from US dollar-denominated assets such as US Treasuries have elevated bitcoin’s status as a non-sovereign alternative,” Lin said.
With these catalysts in play, Global X believes US$200,000 is now an “increasingly achievable” target.
“This revised target assumes that all key catalysts align – political engagement, institutional rotation and a favourable macro environment. While there are always risks and uncertainties, should these factors come together as expected, this price level is increasingly achievable,” he said.
Edward Carroll, head of global markets and corporate finance at MHC Digital Group, is even more bullish, forecasting that bitcoin could hit US$1 million by 2030.
“We firmly believe BTC is increasingly decoupling from its correlation to risk assets and beginning to behave more like an independent, reliable asset allocation – particularly in times of uncertainty,” Carroll said.
“With a fixed supply dynamic and growing demand driving the price higher in the medium term, we see significant upside from here.”
