Bitcoin Reaches Record High of $109,400 Following Passage of 'Genius Act'
The cryptocurrency surge comes in the wake of U.S. Senate's approval of significant stablecoin legislation, overcoming previous legislative hurdles.
Bitcoin has achieved an all-time high of $109,400, surpassing its previous peak recorded in January, coinciding with the inauguration of U.S. President Donald Trump.
This surge follows the U.S. Senate's approval of the 'Genius Act', a pivotal piece of legislation aimed at regulating stablecoins, which are digital currencies designed to maintain a stable value as opposed to the high volatility typically associated with cryptocurrencies like Bitcoin and Ethereum.
The recent spike in Bitcoin's price represents an increase of over 46% from its lowest point this year, recorded in April, reflecting mounting global concerns surrounding trade wars and tariffs imposed by the United States.
The passing of the stablecoin legislation on Tuesday has been viewed as a significant victory for the cryptocurrency sector, fostering expectations for a more supportive regulatory environment.
A vote on the bill is anticipated in the Senate later this week, which could lead to its submission for presidential approval.
Additionally, the Trump administration’s decision to establish a strategic reserve of Bitcoin in March is perceived as a move to reinforce the United States' role as a major supporter of digital assets, further boosting investor confidence.
Despite the optimism, underlying tensions persist, particularly as China has criticized the new U.S. restrictions on Chinese artificial intelligence chips, describing them as 'bullying', and has vowed to respond.
These disputes threaten to disrupt the fragile trade truce between the two nations, potentially undermining the recovery trajectory of digital assets.
The record increase in Bitcoin's value coincided with significant net inflows into Bitcoin exchange-traded funds (ETFs) in May, which totaled approximately $3.6 billion, indicating a resurgence of investor interest.
This new trend bolsters market confidence in Bitcoin, especially with backing from several major treasury firms focused on cryptocurrency, including 'Strategic', associated with entrepreneur Michael Saylor, and the recently launched 'Twenty One Capital'.
These firms have played a substantial role in the recent buying wave, contributing to the elevation of Bitcoin's price to new heights.
This surge follows the U.S. Senate's approval of the 'Genius Act', a pivotal piece of legislation aimed at regulating stablecoins, which are digital currencies designed to maintain a stable value as opposed to the high volatility typically associated with cryptocurrencies like Bitcoin and Ethereum.
The recent spike in Bitcoin's price represents an increase of over 46% from its lowest point this year, recorded in April, reflecting mounting global concerns surrounding trade wars and tariffs imposed by the United States.
The passing of the stablecoin legislation on Tuesday has been viewed as a significant victory for the cryptocurrency sector, fostering expectations for a more supportive regulatory environment.
A vote on the bill is anticipated in the Senate later this week, which could lead to its submission for presidential approval.
Additionally, the Trump administration’s decision to establish a strategic reserve of Bitcoin in March is perceived as a move to reinforce the United States' role as a major supporter of digital assets, further boosting investor confidence.
Despite the optimism, underlying tensions persist, particularly as China has criticized the new U.S. restrictions on Chinese artificial intelligence chips, describing them as 'bullying', and has vowed to respond.
These disputes threaten to disrupt the fragile trade truce between the two nations, potentially undermining the recovery trajectory of digital assets.
The record increase in Bitcoin's value coincided with significant net inflows into Bitcoin exchange-traded funds (ETFs) in May, which totaled approximately $3.6 billion, indicating a resurgence of investor interest.
This new trend bolsters market confidence in Bitcoin, especially with backing from several major treasury firms focused on cryptocurrency, including 'Strategic', associated with entrepreneur Michael Saylor, and the recently launched 'Twenty One Capital'.
These firms have played a substantial role in the recent buying wave, contributing to the elevation of Bitcoin's price to new heights.
