Bitcoin Just Hit a New High—Is the Rally Over or Just Starting?

• Bitcoin tops $111K for first time
• Market cap hits $2.2 trillion
• Bitcoin enters top 5 assets
• BTC ETFs see record inflows
• Firms adopt BTC as treasury

Today, May 22, Bitcoin has reached above $111,000 for the first time in its history, pushing its market capitalization to around $2.2 trillion, or roughly two-thirds of the total crypto market cap.

This has also placed BTC’s market cap above Amazon, making it the 5th most valuable asset worldwide.

What’s Driving the Surge?

The surge is being fueled by strong ETF inflows and large-scale corporate accumulation. The largest Bitcoin ETF – BlackRock’s iShares Bitcoin Trust (IBIT) – has recorded its highest inflow over the past two weeks. Since going net positive on inflows as of April 9, IBIT reported $530.6 million in net inflows on May 21, narrowly missing its record of $531.2 million set on May 5. Cumulative inflows into spot Bitcoin ETFs have now hit $607.1 million, with trading volumes at levels not seen since January.

On the corporate front, several major companies have adopted Bitcoin as their primary treasury asset. Among the top holders are:

• Strategy – 576,320 BTC
• Marathon Digital – 48,237 BTC
• TwentyOne – 36,312 BTC
• Riot Platforms – 19,211 BTC
• Galaxy Digital – 12,840 BTC

These companies primarily use spot markets for their purchases, making their holdings less sensitive to short-term price movements compared to those using derivatives.

Some market participants believe the rally could continue, especially if macroeconomic conditions stay supportive, with Bitcoin potentially climbing to $125,000 by year-end.

Whether this momentum continues depends on upcoming economic data and regulatory developments.