Bitcoin moved past $124,000 in early Asian trade, topping its previous July peak, while ether hit $4,780.04.
Trump administration reforms, including an executive order to allow crypto in 401(k) plans and stablecoin rules, have fuelled investor confidence.
Crypto’s total market capitalisation has surged to $4.18 trillion from $2.5 trillion in November 2024.
Bitcoin surged to a record high on August 14, rising 1% to $124,002.49 in early Asian trading hours, moving past its previous peak from July. Mirroring the trend, the second-largest crypto token--ether, also reached $4,780.04, its highest level since late 2021, reflecting broad-based surge across crypto assets.
Bitcoin, the world’s largest cryptocurrency has gained nearly 32% in 2025, supported by a series of regulatory wins and a more favourable policy environment in the US, with Trump’s elevation to the top seat. Recent developments include the passage of stablecoin regulations and an executive order allowing crypto assets to be included in 401(k) retirement accounts, signalling a growing acceptance of digital assets in mainstream finance.
The executive order on retirement accounts could also benefit asset managers such as BlackRock and Fidelity, which offer crypto exchange-traded funds (ETFs). While the move opens a new channel for adoption, experts caution that cryptocurrencies remain significantly more volatile than traditional stocks and bonds typically held in such accounts.
Market experts also point to expectations of easier monetary policy from the Federal Reserve as an additional factor driving investor interest.
Data from CoinMarketCap shows the total crypto market capitalisation has jumped past $4.18 trillion, up from around $2.5 trillion in November 2024, shortly after Donald Trump’s return to the White House. Trump has positioned himself as ‘crypto-friendly’ president, and his family has engaged in multiple ventures in the sector over the past year.
"Bitcoin hitting a fresh all-time high has taken the overall crypto market cap to a record $4.18 trillion. Multiple factors, such as strong optimism for a September rate cut, corporate accumulation, consistent ETF inflows, and bullish derivatives activity, have contributed to the rally," said Edul Patel, Co-founder and CEO of Mudrex.
"Moves by the Trump administration to ease investment in crypto assets have further improved the market sentiment. Currently trading at $123,600, the breakout has pushed BTC into price discovery, with liquidation clusters forming near $125,500. If the momentum continues, we could see BTC heading towards $140,000 in the coming weeks," Patel added.
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Bitcoin’s recent gains have also sparked a wider rally in the crypto space, shrugging off market turbulence related to tariffs and broader economic uncertainties. Investors appear increasingly willing to embrace digital assets, provided regulatory frameworks continue to clarify the rules of engagement.
With both institutional and retail interest on the rise, the sector looks set to benefit from ongoing policy support and expanding access, though volatility remains a key consideration for those incorporating crypto into retirement and long-term investment strategies.
