Bitcoin's Big Comeback: What's Driving the Surge?

Bitcoin has crossed the $100, 000 mark again, showing that investors are feeling optimistic. This isn't the first time Bitcoin has hit this price point. It first reached $100, 000 in December 2024. Then, it did it again in January 2025, just before Donald Trump's inauguration. This time, though, there's a twist. Bitcoin's market dominance has shot up above 60%, which could be a sign that other cryptocurrencies are struggling. Bitcoin's share of the total cryptocurrency market has been growing steadily. Back in December 2024, when it first hit $100, 000, Bitcoin's dominance was at 52%. By January 2025, it had inched up to 54%. Now, it's surged past 60%, matching levels last seen in early 2021 when Bitcoin was trading around $36, 000. So, why is Bitcoin's price going up? Several factors are at play. There's talk of a potential trade deal between the US and the UK, which could be boosting investor confidence. Plus, bond yields are falling, the dollar is weakening, and there's been a surge in institutional investments in Bitcoin exchange-traded funds. All these factors are contributing to Bitcoin's bullish momentum. The Crypto Fear & Greed Index is also in the "Green" zone, indicating a positive market sentiment. However, it's not all smooth sailing. Upcoming US economic data, like the budget report and the Consumer Price Index, could sway Bitcoin's price. For the rally to keep going, there needs to be concrete progress on the trade deal. Looking ahead, there's a chance Bitcoin could hit new highs, potentially even reaching $110, 000. This could happen as Bitcoin seeks to solidify its value above $100, 000. With ongoing progress in global crypto regulation and strategic Bitcoin reserve initiatives, there's potential for prolonged and accelerated growth beyond 2025.