Bitcoin Hits Record High Amid ‘Crypto Week’ and Tariff Tensions
Bitcoin shattered its all-time high on Thursday, soaring past $118,000 and briefly crossing the $119,000 mark on Friday before settling at $118,780. This dramatic surge comes amid a turbulent stock market affected by trade and tariff tensions following US President Donald Trump’s tariff announcements targeting more than 20 countries. The rally also breaks a two-month lull in the cryptocurrency market, with Ether, another major digital asset, climbing above $3,000 for the first time since February. But what is fueling this sudden bullish momentum, and how are option traders reacting?
The timing of Bitcoin’s price surge is significant as it coincides with ‘Crypto Week,’ when the US Congress is set to review three major bills that could reshape cryptocurrency regulations. These legislative developments are being closely watched by investors and market participants alike, as they have the potential to bring clarity and legitimacy to the often volatile and fragmented crypto market.
One of the key pieces of legislation is the GENIUS Act, which would allow private companies to issue stablecoins—digital currencies pegged to traditional assets like the US dollar. The bill has already gained traction, with the Senate passing it and support expressed by Donald Trump himself through social media. Stablecoins are seen as a critical innovation, bridging traditional finance and the crypto world by offering a more stable and regulated means of digital payment.
Alongside the GENIUS Act, the House of Representatives is expected to consider the Digital Asset Market Clarity Act. This bill aims to establish a clear regulatory framework for cryptocurrencies, addressing longstanding concerns around investor protection, market manipulation, and classification of digital assets.
These positive legislative moves, combined with ongoing geopolitical uncertainties such as trade tariffs and economic tensions, are driving investors toward cryptocurrencies as an alternative store of value and hedge against market volatility. Option traders are closely monitoring price movements, with many betting on continued upward momentum in Bitcoin, reflecting growing confidence in the sector’s long-term potential.
As ‘Crypto Week’ unfolds, the market will be watching closely for regulatory signals that could either sustain or temper the current Bitcoin rally.
