Bitcoin Hits New Record at $122K, Sparks Altcoin Rally as Washington Focuses on Crypto
Bitcoin surged to an all-time high of $122,000 on Monday, igniting a broad rally across the crypto market as traders cheered strong ETF inflows, major short liquidations, and growing optimism about crypto regulation from Washington.
“We could see Bitcoin test $130K–$150K by year-end if macro winds cooperate,” one trading desk observed, reflecting the market’s bullish outlook.
Ethereum (ETH) broke back above the $3,000 mark, buoyed by $383 million in ETF inflows reported last Friday. Other leading tokens climbed alongside Bitcoin’s breakout:
- XRP (XRP) traded near $2.95, up around 30% over the past week.
- Solana’s SOL returned to levels around $167.
- Dogecoin (DOGE) soared over 20%, fueled by retail speculation and renewed memecoin hype.
The rally echoes patterns from previous cycles, where Bitcoin’s gains often unleash liquidity across the broader crypto market. Traders believe that if macroeconomic conditions remain steady and Bitcoin holds above $120,000, large-cap altcoins could continue to advance in the weeks ahead.
The spotlight this week is on Washington as lawmakers begin “Crypto Week,” a series of congressional hearings aimed at cementing the U.S. as the “crypto capital of the world.” Many traders are positioning for potential regulatory tailwinds that could further boost sentiment.
“Crypto prices rallied amid a strong melt-up, with BTC reaching the high $118K range and triggering more than $1 billion in short liquidations,” noted Augustine Fan, Head of Insights at SignalPlus, via Telegram.
Fan added, “Sentiment is likely to stay buoyant into the summer unless there’s a total breakdown in tariff negotiations. It’s up to the President to decide how aggressively he wants to push his current stance.”
Robust on-chain support near $109,000, along with capital flows shifting from equities into crypto, is giving bulls additional confidence. Eugene Cheung, CCO at OSL, said, “The trend remains bullish. We could see Bitcoin test $130K–$150K by year-end if macro winds cooperate.”
Meanwhile, traditional financial markets faltered on Monday. U.S. and European equity futures retreated after former President Trump announced a 30% tariff on goods from the European Union and Mexico, escalating trade tensions that had already shaken markets in Brazil, Algeria, and Canada.
- S&P 500 futures dropped 0.4%.
- Europe’s Stoxx 600 futures slipped 0.6% in early Asian trading.
- Silver prices climbed to their highest levels since 2011, signaling increased investor interest in hard assets amid global uncertainty.
