Bitcoin is on the war path and surging toward $120,000 in 2025.

After recovering to $90,000 in April 2025, the world’s largest cryptocurrency has investors anticipating new record highs. This remarkable climb is powered by institutional adoption, regulatory progress, and shifting economic forces.

Here’s how Wall Street’s support and Washington’s endorsement will drive Bitcoin to unprecedented levels.

Bitcoin ETFs Ignite a Supply Inferno

Institutional investment is driving Bitcoin’s meteoric rise.

Since launching in January 2024, U.S. spot Bitcoin Exchange Traded Funds have amassed over $100 billion as of April 2025. BlackRock (IBIT) and Fidelity’s (Wise Origin) ETFs are aggressively acquiring the digital asset to meet surging institutional demand.

Meanwhile, Strategy (formerly MicroStrategy) continues to stockpile Bitcoin, maintaining a treasury of 538,200 BTC. This aggressive accumulation has inspired other firms to follow suit.

With corporations and pension funds setting their sights on the asset, analysts expect supply to tighten further. 

Washington’s Crypto Policy Revolution

The Trump administration has established a strong pro-crypto position.

In December 2024, Trump appointed David Sacks as “White House AI & Crypto Czar,” elevating both industries’ prominence. In March 2025, the administration created a Strategic Bitcoin Reserve and Digital Asset Stockpile. This proposed reserve, with plans to hold 1 million BTC, would validate the crypto’s status among other national governments.

Pro-crypto SEC chair Paul Atkins has recently indicated plans to enhance regulations for the crypto industry.

Trump’s support extends beyond government policy to personal investment. World Liberty Financial, which includes several Trump family members in leadership positions, has made substantial investments in BTC, Ethereum, and other digital assets.

Global Chaos Fuels the Rally

Macroeconomic trends have shifted towards Bitcoin in 2025.

The U.S. government stance on trade and tariffs have pushed investors to seek investments outside the U.S. The U.S. Dollar and Bond prices have dropped. Meanwhile, equities have corrected substantially.

The uncertainty has driven investors to Bitcoin as “digital gold.”

I mean, we believe Bitcoin is an asset class in itself. It is an alternative to other commodities like gold. – Larry Fink, BlackRock CEO

With highly volatile U.S. economic policies, investors can expect BTC to outperform in 2025.