Crypto Week Begins in the US: Bitcoin Surpasses $123,000! Now the World's 5th Most Valuable Asset

A historic turning point is underway in the cryptocurrency markets. Bitcoin (BTC) surpassed $120,000 late Sunday night, reaching an all-time high. Increasing interest from institutional investors and regulatory changes to be addressed during "Crypto Week" in the US are among the key factors driving this surge.

Bitcoin Reaches $123,000

Bitcoin surged above $120,000 around 11:40 PM Sunday night, boosting the market. As of writing, it is trading at $123,036, a 3.32% increase. The daily inflow of more than $1 billion into Bitcoin ETFs is noteworthy. Currently, more than 6% of Bitcoin's market capitalization is held through ETFs.

Furthermore, one of the most significant developments driving this surge is the CLARITY and GENIUS bills, which will be debated in the US Congress as part of "Crypto Week," which begins today. The CLARITY Act aims to clarify the jurisdiction of institutions such as the SEC and CFTC over crypto assets, while the GENIUS Act aims to establish the legal framework for dollar-denominated stablecoins. Furthermore, signals of a potential interest rate cut from the US Federal Reserve are among the other macro factors supporting the rise.

Liquidations Break Record

Bitcoin's rapid rise has also had a significant impact on futures markets. In the last 24 hours, $680 million worth of positions were liquidated in the crypto market. According to JrKripto data, $614 million of this came from short positions. The largest single liquidation was a $92.5 million BTC short position on the HTX exchange. This wave of liquidations wasn't limited to Bitcoin. Ethereum experienced a $68 million forced closure, XRP a $17 million closure, while altcoins such as XLM, PEPE, DOGE, and SUI also saw heavy trading volume.

Bitcoin is now the world's fifth most valuable asset.

Bitcoin's market capitalization has surpassed $2.4 trillion, surpassing Amazon, Google, and silver. Currently, only gold, NVIDIA, Microsoft, and Apple have a larger market capitalization than BTC. Vincent Liu of Kronos Research describes this rally as an "infrastructure-driven" rally, adding: "ETFs, policy momentum, and abundant liquidity combined to create this picture."

According to Liu, BTC could test the $130,000 to $150,000 range by the end of the year. However, reaching these levels will depend on whether retail investors re-enter the market.

Altcoins are also on the rise

The Bitcoin-fueled rally led Ethereum to rise above $3,000, while XRP rose 4.82 percent to $2.91, and Solana rose 3.21 percent to $165.9. According to market analysts, this rally is likely to strengthen further in the coming weeks if ETF inflows continue and crypto-friendly regulations come from the US.