BTC Returns to $100K: Why Digital Gold Still Shines
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BTC Surges Past $100,000 Again!
Recently, Bitcoin once again broke through the $100,000 mark, reaching as high as $104,000 — a 24-hour gain of 7.41% and the highest price in nearly three months. Other major cryptocurrencies also saw significant gains. According to MEXC data, the majority of the top 100 tokens by market cap are on the rise. ETH surpassed $2,600, SOL broke above $180, and DOGE climbed past $0.25.
This return to value is no coincidence: it reflects a powerful convergence of structural changes in the global financial system. Beyond the surface of price movements, we’re witnessing a transformation in Bitcoin’s value logic driven by sovereign capital, technological innovation, and a shift in regulatory paradigms.
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1. Geopolitical Tensions Fuel Demand for Safe-Haven Assets
Dramatic shifts in global trade dynamics have acted as a catalyst for the recent market surge. On May 8, the U.S. and the U.K. signed a new trade agreement, rolling back tariffs in select sectors and expanding mutual market access. Just two days later, on May 10, China and the U.S. reached a tariff reduction deal on agricultural products during talks in Geneva. These two major developments prompted global capital to reassess and reposition.
According to data from Investing.com, within 72 hours of the agreements, the U.S. Dollar Index dropped 2.3%, while Bitcoin saw a net inflow of $4.7 billion on-chain. The stark contrast in capital flows highlights a deeper trend: a growing crisis of confidence in traditional fiat currency systems.
Behind this capital migration lie two key driving forces. First, the easing of trade barriers has accelerated cross-border capital flows, highlighting Bitcoin's competitive advantage as a globally transferable asset. Second, the tariff reductions have lowered inflation expectations, diminishing the U.S. dollar’s appeal as an inflation hedge.
According to Bloomberg, during the week of the agreement signings, institutional investors increased their holdings by 32,000 BTC via the Grayscale Bitcoin Trust—the highest weekly inflow since the start of 2024. This validates Bitcoin's evolution into a form of "digital gold," shifting from a speculative asset to a strategic safe-haven.
2. Institutional Adoption Reshapes Market Landscape
The continued positioning of institutional investors has been a key source of capital behind Bitcoin's surge past $100,000. Since the beginning of 2025, accumulation plans by publicly traded companies and sovereign nations have drawn intense market attention.
Strategy (formerly MicroStrategy) remains one of Bitcoin's most committed buyers. On May 2, the company announced its new "42/42 Plan," aiming to raise $84 billion over two years to purchase Bitcoin. This follows its earlier "21/21 Plan," through which it had already invested $42 billion in Bitcoin accumulation. As of May 2025, MicroStrategy holds over 500,000 BTC. At current prices, its Bitcoin holdings are valued at more than $58 billion.
There are clear signs that more companies are drawing inspiration from the investment strategies of firms like Strategy and increasing their cryptocurrency holdings on corporate balance sheets. Bernstein analyst Gautam Chhugani noted that approximately 80 companies have "adopted the 'Bitcoin Standard,'" meaning they have added substantial Bitcoin exposure to their balance sheets — accounting for around 3.4% of the total Bitcoin supply. "In the context of cyclical economic downturns and supply constraints, Bitcoin may become more resilient as publicly listed companies continue to accumulate," Chhugani stated. For example, Japan’s Metaplanet has allocated over 35% of its corporate assets to Bitcoin, while India's Jetking plans to build a reserve of 18,000 BTC. These decisions go beyond financial investment — they are evolving into strategic moves to hedge against fiat currency depreciation.
Even more significant is the entry of sovereign capital. New Hampshire has passed the "Digital Asset Reserve Bill," allowing its Treasury to purchase digital assets such as Bitcoin with market capitalizations exceeding $500 billion. In Texas, a similar bill is currently in its final legislative review stage. These developments not only provide long-term capital support for the Bitcoin market but also signal Bitcoin's gradually rising status within the global financial system.
3. Regulatory Breakthrough Expands Institutional Space
For a long time, the cryptocurrency industry operated in a regulatory gray area, with policy uncertainty posing significant obstacles to its development. However, the return of the Trump administration marked a sharp shift in regulatory tone, signaling a more crypto-friendly stance. In March of this year, Trump signed an executive order mandating the establishment of a strategic Bitcoin reserve and digital asset inventory. This move is a landmark development—it not only reflects the U.S. government’s strategic recognition of the value of Bitcoin and other cryptocurrencies, but also marks a fundamental shift in its stance: from cautious observation to proactive acceptance and deployment.
At the same time, the U.S. Securities and Exchange Commission (SEC) has shown signs of softening its regulatory posture toward the crypto sector. The SEC had previously taken a strict approach to crypto projects, leading to significant compliance challenges. But now, the landscape is gradually changing. Although the SEC's settlement with Ripple sparked some controversy within the industry, it nonetheless reflects a broader trend toward more accommodative regulation. This shift is enabling crypto businesses to operate within a more relaxed and predictable regulatory framework—lowering compliance costs and reducing policy risk. In effect, it provides a much-needed sense of reassurance for the industry’s long-term development.
4. Technological Evolution Strengthens Bitcoin's Value Foundation
Bitcoin is undergoing a transformation—from a conceptual narrative to a technology-backed value asset. The Lightning Network, a layer-2 scaling solution for Bitcoin, has seen rapid development. As of May 13, the number of nodes on the Lightning Network has reached 11,375, with payment channel capacity exceeding 4,200 BTC.
Bitcoin's value proposition is being continually reinforced by the interplay of its halving mechanism and built-in scarcity. Following the fourth halving, Bitcoin's annual inflation rate dropped from 1.75% to just 0.85%. According to a 2024 report from the World Gold Council, the total above-ground gold supply in 2023 stood at 212,582 tonnes, with an annual increase of approximately 1.64%. This means Bitcoin's post-halving supply growth rate is projected to be roughly half that of gold, making Bitcoin even scarcer from a supply perspective.
On the behavioral front, data from MacroMicro shows that 63% of Bitcoin addresses have held their coins for over a year—an all-time high. This surge in so-called "diamond hands" signals a fundamental shift in investor perception: Bitcoin is increasingly being treated not as a short-term speculative asset, but as a long-term store of value.
5. Post-$100K Milestone: Bitcoin's Next Evolutionary Test
With Bitcoin’s historic breakthrough of the $100,000 mark, the market’s attention has now shifted to the next major resistance level. Technical analysis suggests that if BTC can hold above the $105,000 support line, it may challenge the $120,000–$130,000 range in Q3 2025. This aligns with Standard Chartered's recent report forecasting a year-end BTC price target of $148,000. Yet, behind the bullish outlook lie significant evolutionary challenges. For everyday investors aiming to ride this wave of value growth with confidence, choosing the right trading platform becomes especially critical.
In a complex market environment beyond the $100K threshold, retail investors need a platform with strong liquidity and robust risk controls. As a global leader in crypto trading, MEXC offers clear advantages. In terms of liquidity, MEXC connects a broad network of global traders, providing deep order books and high trading volume to ensure fast execution and minimal slippage for Bitcoin trades. As for risk control, MEXC deploys advanced risk management systems and multilayered security to comprehensively safeguard user assets. Backed by expert tech and operations teams, MEXC is well-positioned to respond swiftly to market changes and challenges—delivering a stable and secure trading environment.
By leveraging MEXC's professional services, investors can navigate the post-$100K market landscape with greater confidence. Click here to enter MEXC's dedicated Bitcoin trading zone and seize new market opportunities to grow your portfolio securely.
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