The world's largest cryptocurrency, Bitcoin (BTC), has surged past the $121,000 mark, setting new all-time highs and fueling a renewed wave of optimism across the cryptocurrency landscape. With a 16.51% rally in the past month alone, BTC's market capitalisation has also soared to $2.43 trillion, surpassing equity and non-equity assets like Amazon, Silver, Google, and Meta.

Gold has the largest market cap of $22.64 trillion, followed by NVIDIA at $4 trillion, Microsoft at $3.7 trillion, and Apple at $3.1 trillion, according to CompaniesMarketCap data. Others in the top 10 include Amazon, closely following BTC at $2.38 trillion, silver metal at $2.2 trillion, Google at $2.1 trillion, Meta at $1.8 trillion, and Saudi Aramco at $1.6 trillion.

The star token is turning heads on Wall Street and beyond as it sees a huge rise in institutional demand, with record ETF inflows. As Congress prepares for a critical "crypto week," stakeholders are bracing for a new era of mainstream adoption and regulatory clarity in crypto.

The current cryoto momentum has been largely driven by institutional inflows, led by BlackRock’s spot Bitcoin ETF (IBIT), which hit a record $83 billion in AUM, tripling within just 200 trading days, a feat that took the gold ETF (GLD) over 15 years, says Harish Vatnani, Head of Trade, ZebPay.

Notably, the US Congress will vote on crucial bills, including the CLARITY Act, Anti-CBDC Act, and GENIUS Act, which aim to establish regulatory clarity and permanently prohibit the issuance of CBDCs. "Bitcoin surged past a new all-time high of $120,000 on July 14, extending its July rally to a 13% gain... IBIT now holds over 700,000 BTC, outpacing its peers by nearly 100,000 BTC," says Himanshu Maradiya, Founder & Chairman, CIFDAQ.

July alone has seen a 13% price increase, setting up Bitcoin for its third consecutive monthly gain. Pankaj Balani, CEO & Co-Founder, Delta Exchange, says: "Bitcoin’s breakout to a new all-time high of $121,714 represents a 30% gain year-to-date and more than a 100% increase from the same time last year... A sustained move above $122,000 could open the path toward $124,000-$125,000."

The rally is also fuelled by strong institutional flows and rising risk appetite, as traders anticipate even higher price targets in the weeks ahead, says Avinash Shekhar, Co-Founder & CEO, Pi42. "Bitcoin has smashed through the $120,000 barrier... as investors digest a favourable macro backdrop, with inflation cooling and the U.S. economy showing signs of a 'Goldilocks' equilibrium...rising risk appetite, as traders anticipate even higher price targets in the weeks ahead."

Edul Patel, Co-founder and CEO of Mudrex, says Bitcoin extended its rally to a new all-time high, and that if it breaks the $120,000 resistance, it could target $125,000 next, with strong support seen at $114,500. "Bitcoin extended its rally to a new all-time high of $119,960... This move pushed Bitcoin past Silver and Google, making it the 6th largest asset by market cap...alongside continued accumulation by smaller investors acquiring over 19,000 BTC monthly."

Outlook in Near Term

The long-term signals on BTC remain strong. Bitcoin’s hashrate is at record levels, institutional wallet activity is increasing, and core on-chain metrics continue to reflect healthy network usage.

Sumit Gupta, Co-Founder at CoinDCX, tells Fortune India in this phase of the cycle, the focus should be on maintaining strategic exposure, managing risk thoughtfully, and staying anchored to long-term conviction rather than being influenced by short-term market noise. "This rally beyond $120,000 isn’t just hype-driven—it signals a deeper structural shift in Bitcoin’s investor profile and market dynamics. With ETF inflows surging, institutional adoption rising, and the regulatory tide turning more favorable under new leadership at the SEC, the foundation looks stronger than in past cycles."

That said, says Gupta, investors must remain cautious: thinning liquidity, high leverage, and macro shocks like inflation data can still spark volatility. "The long-term story remains intact, but risk management and strategic conviction are critical in this phase.”