Bitcoin climbs to record $123,000

Bitcoin surpassed $120,000 for the first time on Monday, marking a milestone for the world's largest cryptocurrency as investors bet on long-sought policy wins for the industry this week.

Bitcoin scaled a record high of $123,153.22 before pulling back slightly to trade 2.4 percent higher around $122,000.

Later in the day, the US House of Representatives will debate a series of bills to provide the digital asset industry with the nation's regulatory framework it has long demanded.

Those demands have resonated with US President Donald Trump, who has called himself the "crypto president" and urged policymakers to revamp rules in favour of the industry.

"It's riding a number of tailwinds at the moment," said IG market analyst Tony Sycamore, citing strong institutional demand, expectations of further gains and support from Trump as reasons for the bullishness.

"It's been a very, very, strong move over the past six or seven days and it's hard to see where it stops now. It looks like it can easily have a look at the $125,000 level," he said.

The surge in bitcoin, which is up 30 percent so far this year, has sparked a broader rally across other cryptocurrencies over the past few sessions even in the face of Trump's chaotic tariff policies.

Ether , the second-largest token, scaled a more than five-month peak of $3,059.60, while XRP and Solana gained about 3 percent each.

The sector's total market value has swelled to about $3.81 trillion, according to data from CoinMarketCap.

"What we find interesting and are watching closely are the signs that bitcoin is now being seen as a long-term reserve asset, not just by retail investors and institutions but even some central banks," said Gracie Lin, crypto exchange OKX's Singapore CEO.

"We're also seeing increasing participation from Asia-based investors, including family offices and wealth managers.

These are strong signs of bitcoin's role in the global financial system and the structural shift in how it is perceived, suggesting that this isn't just another hype-driven rally," Lin said.

Earlier this month, Washington declared the week of July 14 as "crypto week," during which members of Congress are set to vote on the Genius Act, the Clarity Act, and the Anti-CBDC Surveillance State Act.

The most significant bill is the Genius Act, which would create federal rules for stablecoins.

Elsewhere, prices of crypto stocks and exchange traded funds advanced.

In US premarket trading, shares of crypto exchange Coinbase surged 1.7 percent, while bitcoin holder Strategy climbed 3.3 percent. Crypto miner Mara Holdings jumped 4.6 percent.

Hong Kong listed spot bitcoin ETFs launched by China AMC, Harvest and Bosera all hit record highs.

Bitcoin broke through $120,000 for the first time on Monday, reaching a new all-time high before settling just below $122,000, according to a recent report by Reuters. The big jump comes as US politicians get ready to vote on new laws that could make life easier for cryptocurrency companies.  

President Donald Trump has been calling himself the "crypto president" and pushing for friendlier rules. This political support, along with growing interest from big investors, has helped drive bitcoin's price up 29% this year, states Reuters. Other cryptocurrencies like Ether and Solana are rising too, with the total crypto market now worth nearly $4 trillion.  

"This isn't just short-term excitement," said Gracie Lin from crypto exchange OKX, as per the Reuters report. "More serious investors like banks and wealthy families are starting to treat bitcoin like real money."  

According to Reuters, the US government has even declared this "crypto week", with several important votes coming up. The most watched is a bill that would create the first national rules for stablecoins - cryptocurrencies tied to the US dollar.  

As bitcoin keeps climbing, experts say the price could soon test $125,000. The rally shows how cryptocurrencies have grown from internet curiosities to serious financial assets that governments can no longer ignore.