Bitcoin has broken through $110,000 again. What's next for its trend?
On May 26th, Bitcoin briefly surpassed $110,000 during intraday trading. As of this writing, Bitcoin is quoted at $109,727 per coin. Unlike past rapid surges, the recent weeks' rally has been slow and steady.
On May 23rd, Trump's tweet about imposing additional tariffs on the EU startled many, causing those who were bullish to panic and those who were bearish to firm up their short positions, leading to a brief pullback in Bitcoin's price.
However, judging from the price action, the pullback triggered by the news was only temporary, and the magnitude of the correction was not strong—it only retracted to the support level of the previous high. If the bears were strong, the price would have continued to decline after such a large bearish candlestick, but that did not happen, indicating that the bearish momentum was weak.
News can influence short-term trends, but not the overall trajectory.
Now that Bitcoin has broken through the previous high again, many people believe $110,000 is the top.
However, from a weekly chart perspective, while there may be consolidation at this level, there are no signs of a top yet. In my view, Bitcoin is still in a new upward trend.
Institutional holdings are expected to exceed 4.2 million coins by 2026
Key factors driving Bitcoin's rally this month include the easing of U.S.-China trade tensions and Moody's downgrade of the U.S. sovereign credit rating, which has made Bitcoin and other "alternatives for store of value" more appealing.
Just minutes before writing this article, Strategy announced a $427 million fundraise to purchase 4,020 Bitcoins, bringing its current holdings to 580,250 Bitcoins.
A collaborative research report by Bitwise Asset Management : as capital floods in, nations adopt Bitcoin as legal tender, and yield strategies converge, institutions are expected to hold over 4.2 million Bitcoins by 2026.
The report notes that listed companies like Strategy (MSTR.US), Metaplanet, and Twenty One are setting new benchmarks in capital deployment by integrating Bitcoin not only as a reserve asset but also as an operational performance metric.
This signals a transformation in asset management across multiple industries. The report further states, "We expect over 1 million Bitcoins to be held under this new accumulation paradigm by the end of 2026."
Analysts point out that growing concerns in financial markets about the surge in U.S. government fiscal deficits under Trump's leadership, as well as the global sell-off of U.S. Treasuries triggered by the Bank of Japan's continued quantitative tightening and the subsequent bond sell-off in Japan, are core reasons driving the recent rally in Bitcoin, dubbed the "new king of safe havens."
The Bitcoin Conference is approaching
The Bitcoin 2025 Conference will be held in Las Vegas from May 27th to 29th. This grand gathering of tech giants, financial leaders, policymakers, and crypto pioneers is not only set to redefine Bitcoin's future role but could also become a benchmark for U.S. and global digital currency regulation.
The guest lineup includes U.S. Vice President Vance, White House AI and Cryptocurrency Czar David Sacks, Trump's sons Donald Trump Jr. and Eric Trump, as well as Michael Saylor (Founder of Strategy, MSTR.US), Vlad Tenev (CEO of Robinhood, HOOD.US), Fred Thiel (CEO of MARA Holdings, MARA.US), and Simon Gerovich (CEO of Metaplanet, 3350.JP).
The most anticipated event is the speech by U.S. Vice President JD Vance on May 28th in Las Vegas titled "Innovation, Financial Sovereignty, and the Future of Bitcoin," making him the first sitting U.S. vice president to publicly support Bitcoin.
According to relevant documents, his 2022 mandatory annual report submitted in October 2023 disclosed that he held between $100,000 and $250,000 worth of Bitcoin as of 2022.
With the cryptocurrency market influenced by multiple intertwined factors, I expect this Bitcoin conference to potentially drive Bitcoin's price to a short-term all-time high.
However, it is necessary to be cautious about short-term investors taking profits. Bitcoin investments above $100,000 require caution. At current prices, even though I am bullish, I would not commit a large amount of capital.#btc
Disclaimer: This is just my opinion based on what I’m seeing. Not financial advice—do your own research before investing.