Bitcoin hits record high of $125,000 amid US market uncertainty

NEW YORK: Bitcoin reached a new all-time high on Sunday, crossing the $125,000 mark, setting a fresh record for the world’s largest cryptocurrency.

According to AFP, the digital currency had earlier hit a record of $124,500 in August — a milestone that has now been surpassed.

The recent surge in Bitcoin’s value comes amid growing caution among investors over a potential U.S. government shutdown, which has driven demand for alternative assets.

Bloomberg News reported that gains in U.S. stock markets have also supported Bitcoin’s rally, as investors increasingly turn to so-called “safe haven” assets while lawmakers in Washington continue negotiations over federal funding.

U.S. President Donald Trump and his family, known advocates of cryptocurrency, are involved in several digital asset ventures that have contributed to their growing wealth.

Trump’s open endorsement of digital assets marks a shift from the skeptical stance held by the previous Biden administration toward the crypto industry.

In July, the U.S. House of Representatives passed three landmark cryptocurrency bills, paving the way for major regulatory reforms in the sector.

Following these regulatory developments, Bitcoin’s value has seen a sharp upward trajectory

Joshua Lim, co-head of markets at crypto brokerage FalconX, told Bloomberg News, “With many other asset classes already near historic highs, it’s not surprising that Bitcoin is benefiting from the same momentum.”