Bitcoin tops $111K for first time as bullish momentum builds

Bitcoin reached a new record high of $111,492 in early Asian trading, boosted by market optimism, large investor purchases, and positive signals from the U.S. government about future crypto rules. BTC jumped as much as 2.2% before dropping slightly. This is mainly driven by progress on a stablecoin bill in the U.S. Senate that traders believe will bring more straightforward rules and reduce long-standing uncertainty in the crypto industry. Source: CoinMarketCap Bitcoin gains strength as U.S. optimism and institutional demand grow Crypto investors are now more confident about how the U.S. government handles crypto regulation after lawmakers moved forward with a stablecoin bill (Genius Act). The bill creates clear rules for how stablecoins should work and who can issue them. Crypto supporters say the bill shows the U.S. is slowly opening the door to a legal framework that will let companies operate without constantly worrying about getting sued or shut down. If the bill becomes law, the firms will gain more trust from the public and investors. At the same time, Bitcoin prices keep rising because large companies continue to buy more with Michael Saylor’s company, Strategy, purchased over $50 billion worth of Bitcoin to become the biggest Bitcoin-holding public company in the world. Saylor has built his entire business strategy around buying and holding as much of it as possible, as he believes Bitcoin is the strongest form of money, inspiring many small-cap companies and newly listed public firms to copy his approach and start putting Bitcoin on their balance sheets. These companies raise money by offering convertible bonds, selling preferred stock, and using SPACs or PIPE deals to buy Bitcoin. Twenty-One Capital Inc., a new firm backed by powerful financial players like Cantor Fitzgerald, stablecoin issuer Tether, and Japanese tech investment firm SoftBank, has also come into play with backers working together to build a company that holds Bitcoin as its main asset and mirrors Strategy’s model. Strive Enterprises Inc., co-founded by entrepreneur and political figure Vivek Ramaswamy, also has one of its subsidiaries merging with Nasdaq-listed Asset Entities Inc. Traders bet big on future highs as Bitcoin regains momentum On Deribit, the world’s largest crypto options exchange, the highest number of open option contracts has gathered around strike prices of $110,000, $120,000, and even $300,000. These contracts are set to expire on June 27, which shows many traders believe Bitcoin will hit or get close to these levels in the near term. Global co-head of markets at crypto platform FalconX, Joshua Lim, explained that Bitcoin is rising slowly and steadily in what he called a “slow-motion grind” into new all-time highs. Much demand is coming from SPACs (special purpose acquisition companies) and PIPE deals (private investments in public equity) as companies rush to raise funds quickly. Lim also said that one of the most popular crypto exchanges in the U.S., Coinbase, is showing a price premium on spot Bitcoin trades because people are willing to pay more to buy Bitcoin directly on Coinbase compared to other platforms when demand is much stronger than supply. Tony Sycamore from IG Markets explained that Bitcoin’s big drop from its January high of over $100,000 down to below $75,000 in April was a normal correction inside a larger uptrend. This kind of dip is common during long bull markets and helps reset the market before prices increase. KEY Difference Wire : the secret tool crypto projects use to get guaranteed media coverage

Source: Cryptopolitan