Bitcoin has reached a new all-time high.
Over the past week, the popular cryptocurrency jumped 10 percent and reached above $125,000 for the first time in its history.
The latest surge follows a trend that crypto insiders call 'Uptober', where the cryptocurrency market historically has performed better during October.
Bitcoin's price has now doubled compared to this time last year, and some analysts believe it could climb even higher before the end of 2025.
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The price spike has happened at the same time that bitcoin holdings on major exchanges have dropped to their lowest level in six years, according to market intelligence firm Glassnode.
Approximately $15 billion worth of bitcoin has been withdrawn from exchanges like Binance and Coinbase over the past two weeks, migrating into institutional funds, company treasuries, or private wallets. This usually means investors are planning to hold onto their bitcoin for the long term rather than selling it anytime soon.
Nigel Green, CEO of financial advisory firm deVere Group, says this behaviour reflects a shift in how investors see digital assets.
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“Bitcoin is no longer a speculative corner of the market; it’s being treated as a legitimate macro instrument. Institutional capital, treasury allocations, and sovereign interest are reshaping the market’s depth and maturity,” Green told The Independent. “Policy tailwind, coupled with clearer regulatory direction, is propelling bitcoin into the mainstream of portfolio strategy.”
Unlike previous price surges, Green claims that Bitcoin is being viewed as a safe investment and an integral part of the global financial system, rather than a gamble.
“Large asset managers, corporates, and even governments are incorporating Bitcoin into their frameworks for diversification and strategic reserve management. The breadth of adoption is what gives this rally staying power,” he added.
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“Bitcoin’s limited supply and growing integration make it an essential hedge in a world of mounting fiscal pressure and currency depreciation. Should confidence continue, $150,000 looks increasingly achievable before the end of the year.”
Elsewhere in the crypto market, Ethereum, Solana, and Dogecoin all increased by more than 10 percent over the past week.
This rise in prices have pushed the total cryptocurrency market value to an all-time high of $4.25 trillion. Meanwhile, gold is currently valued at around $26.6 trillion.
Some analysts believe the rally has been boosted by speculation that the US Federal Reserve will cut interest rates again later this month.
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“Investors [have] increased their bets that the Federal Reserve will further cut interest rates at their upcoming 29 October meeting following weaker-than-expected employment data from the US,” Simon Peters, a crypto analyst at the trading platform eToro, wrote in a research note.
“With the current sentiment in the markets being risk-on due to anticipating further interest rate cuts, there is every chance we could see the rally continue and new all-time highs being made in bitcoin, ethereum and other major capitalisation cryptos before the month is out.”