Bitcoin climbs to fresh all-time high above $111,000

May 22, 2025 (MLN): Bitcoin rose to a new all-time high above $111,000, breaking its previous January record.

The flagship cryptocurrency was last higher by 2% at $108,955.10, according to Coin Metrics, after reaching an intraday peak of $109,857.

It has since climbed further, currently trading at $111,488, marking a significant milestone in its ongoing rally.

At one point during the session, bitcoin erased its gains after Treasury yields spiked and stocks fell to session lows.

However, it rebounded strongly amid a combination of favorable macroeconomic developments and rising investor interest.

“Bitcoin’s new high has been concocted by an array of favorable ingredients in the macro cauldron, namely softer U.S. inflation numbers, a de-escalation in the U.S.-China trade war and the Moody’s downgrade of U.S. sovereign debt, which has put the spotlight on alternative stores of value like bitcoin,” said Antoni Trenchev, cofounder of crypto exchange Nexo.

“We’ve entered an alternate universe very different from early April when global macro concerns were at their peak and bitcoin slumped to $74,000,” he added.

“It’s possible a three-month window has opened for risk assets to thrive as a broader [trade] agreement between the U.S. and China is thrashed out.”

After languishing for several weeks amid tariff-related uncertainty, bitcoin has steadily climbed in May, rising 15% for the month, as CNBC reported.

Cumulative inflows into exchange-traded funds that track the price of bitcoin surpassed $40 billion last week and have recorded only two days of outflows in May, according to SoSoValue.

The cryptocurrency has benefited from increased liquidity in the stock market, which has lifted risk assets, along with recent risk-off scenarios tied to U.S. tariff and deficit concerns.

These same concerns have also driven gains in traditional safe-haven assets like gold, as well as alternatives like bitcoin.

On-chain data reflects reduced selling pressure, with fewer bitcoin inflows into exchanges and increased crypto market liquidity.

This is supported by record levels of the Tether stablecoin (USDT), a key indicator of market liquidity, sitting on exchanges, according to CryptoQuant.

Investors have been anticipating further catalysts for bitcoin, including regulatory updates and corporate treasury investments.

Since the beginning of the year, the amount of bitcoin held by public companies has grown by 31%, now totaling approximately $349 billion, or about 15% of the total bitcoin supply, according to Bitcoin Treasuries.

Earlier this week, the Senate voted to advance legislation to establish the first regulatory framework in the U.S. for stablecoins, a key part of the crypto market.

President Donald Trump has stated he wants crypto regulation ready for signing by August, before Congress goes into recess.

Also this month, Coinbase joined the S&P 500, a move widely hailed as a landmark moment for the cryptocurrency industry.

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