Bitcoin surged to a new all-time high on Wednesday, surpassing its previous peak from January, as improving risk appetite followed last month’s tariff-related sell-off. The cryptocurrency reached $109,481.83—a 2% increase on the day—and later climbed above $111,000, according to CoinMarketCap. Bitcoin often mirrors the behavior of tech stocks and other assets that benefit from positive investor sentiment. The tech-heavy Nasdaq has risen 30% since its early April lows, while a weaker U.S. dollar has also supported Bitcoin’s value against the currency.
Market participants attribute Bitcoin’s rally to growing interest from traditional financial institutions. This week, attention focused on JPMorgan CEO Jamie Dimon, a longtime crypto skeptic, who acknowledged that his clients can now buy Bitcoin. Additionally, Coinbase’s inclusion in the S&P 500 this month has been cited as a bullish factor.
However, on Monday, Coinbase announced that the U.S. Department of Justice has launched an investigation into a recent data breach at the company.