Bitcoin prices have once again attracted global attention, surpassing the $120,000 mark, showcasing the strong momentum of the digital asset market. Behind this breakthrough development is a combination of a series of complex factors.

First, the large-scale entry of institutional investors has injected new vitality into the Bitcoin market. Since the approval of the US spot Bitcoin ETF in 2024, major asset management companies have cumulatively held over 1.29 million Bitcoins, accounting for about 6% of the total supply. Among them, BlackRock's IBIT fund has performed particularly well, becoming one of the largest ETFs. The continuous inflow of institutional funds has not only increased market demand but also converted a large amount of Bitcoin into long-term holdings, further intensifying supply pressure.

At the same time, changes in the policy environment have provided strong support for the development of Bitcoin. The U.S. government's shift in attitude towards cryptocurrencies, especially the proposed strategic Bitcoin reserve plan, shows an increasing emphasis on digital assets. The "BITCOIN Act" currently being discussed on Capitol Hill even proposes to increase the national reserve by 1 million Bitcoins over the next five years. If implemented, this measure would have a profound impact on Bitcoin's global status.

Globally, Bitcoin is gradually being viewed as a new type of value reserve option. This shift in perception is reshaping the international financial order, making Bitcoin's role in the global economy increasingly important.

The scarcity of Bitcoin is the core driving force behind its continuously rising value. With increasing market demand and limited supply, the price of Bitcoin is likely to continue to climb. Standard Chartered's latest research report predicts a year-end target price of $150,000 for Bitcoin, and it is more likely to reach $200,000 by the end of 2025.

The strong performance of Bitcoin in this round not only reflects the vigorous development of the digital asset market but also foreshadows the profound changes that the global financial system may face. With institutions, governments, and individual investors increasingly accepting Bitcoin, we might be witnessing the arrival of a new financial era.