Bitcoin’s (BTC) rise above $105,000 on May 20, 2025, has reignited curiosity about its potential ceiling and the forces propelling its current rally. As investors and analysts speculate on how high Bitcoin can climb, today’s surge, fueled by institutional inflows, bullish technical patterns, and macroeconomic tailwinds, offers clues to its trajectory.

Drawing from expert insights, on-chain data, and market trends, this article explores why Bitcoin is soaring today and what price levels it might reach in the near and long term.

From a technical analysis perspective, two things seem important: a bullish pin bar on the BTC daily chart and a potential golden cross.

Why Is Bitcoin Going Up Today?

Bitcoin Bitcoin While some may still be wondering what is Bitcoin, who created Bitcoin, or how does Bitcoin work, one thing is certain: Bitcoin has changed the world.No one can remain indifferent to this revolutionary, decentralized, digital asset nor to its blockchain technology.In fact, we’ve gone a long way ever since a Florida resident Laszlo Hanyecz made BTC’s first official commercial transaction with a real company by trading 10,000 Bitcoins for 2 pizzas at his local Papa John’s.One could now argue that While some may still be wondering what is Bitcoin, who created Bitcoin, or how does Bitcoin work, one thing is certain: Bitcoin has changed the world.No one can remain indifferent to this revolutionary, decentralized, digital asset nor to its blockchain technology.In fact, we’ve gone a long way ever since a Florida resident Laszlo Hanyecz made BTC’s first official commercial transaction with a real company by trading 10,000 Bitcoins for 2 pizzas at his local Papa John’s.One could now argue that Read this Term’s price surged over 3% in the last 24 hours, reaching an intraday high of $106,851 on May 20, 2025, from yesterday’s $102,100 the previous day, according to CoinMarketCap and TradingView.

Several key factors are driving this rally. Dr. Kirill Kretov from CoinPanel provides insight into the current market dynamics:

“From an on-chain perspective, the current Bitcoin setup closely resembles the pre-bull run structure we saw in early 2021. While we are not seeing the breakout yet, the conditions for a major move are rapidly forming.”

1. Growing Institutional Demand and ETF Inflows

Institutional interest in Bitcoin is at an all-time high, significantly boosting its price. Spot Bitcoin exchange-traded funds (ETFs) in the U.S. have seen inflows for 18 of the last 21 days, accumulating $6.9 billion in new capital over three weeks, according to Farside Investors. Additionally, CoinShares reported $557 million in inflows to Bitcoin investment products last week, reflecting growing investor confidence.

Corporate adoption is also on the rise. Strategy (formerly MicroStrategy) purchased 7,390 BTC worth $765 million, while Japan’s Metaplanet added 1,004 BTC for $129 million, as announced on May 19, 2025. This institutional and corporate buying spree signals Bitcoin’s increasing role as a long-term asset, pushing its price toward new highs.

JUST IN: 🇯🇵 Metaplanet bought another 1,004 #Bitcoin for ¥15 billion. pic.twitter.com/lH88USthZ7

— Bitcoin Magazine (@BitcoinMagazine) May 19, 2025

2. High Open Interest in Futures Markets

Bitcoin’s rally is further supported by unprecedented open interest (OI) in the futures market, which hit an all-time high of $72.63 billion on May 20, up 27% from $57.1 billion a month earlier, according to CoinGlass.

Bitcoin CME futures OI also reached a 90-day high of 157,875 BTC ($16.76 billion) on May 19. This surge in leveraged positions indicates strong market expectations of continued upward momentum, similar to the 84% rally from October to December 2024, when Bitcoin hit its previous all-time high of $108,000.

3. Macroeconomic Tailwinds

Macroeconomic factors are also fueling Bitcoin’s rise. Increasing M2 money supply and easing U.S.-China trade tensions have bolstered bets on a new record high.

Bitcoin’s fixed supply and transparency make it an attractive hedge against fiat currency risks and sovereign debt fragility, especially as institutional and sovereign interest grows, according to Tracy Jin, COO of MEXC.

You may also like: Bitcoin Price Prediction 2025, 2026, 2030. Experts BTC Forecast And Outlook (May 2025)

Bullish Technical Patterns on Bitcoin chart

Additionally, a bullish pin bar candle near the $105,000 support level, identified in my technical analysis, signals strong buying pressure defending this key zone. This level aligns with local highs from early May, reinforcing its significance.

The upcoming golden cross, where the 50-day simple moving average (SMA) crosses above the 200-day SMA, further supports bullish sentiment. Past golden crosses in October 2023 and September 2021 led to 45–60% price rallies, though a February 2020 bull trap serves as a reminder of potential risks.

#Bitcon golden cross should occur in a few days. Will probably make a video soon discussing this and looking back at historical moves following it pic.twitter.com/qRqIweAopD

— Benjamin Cowen (@intocryptoverse) May 20, 2025

“We are now in a thin liquidity environment, where it wouldn’t take much to move the price significantly,” added Kretov. “Technically, formations like the potential bullish pin bar candle near $105K support are worth watching, but price action alone doesn’t tell the full story. Structurally, barriers to upward movement are largely gone. That said, volatility Volatility In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, or stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Trad In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, or stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Trad Read this Term remains elevated, and large players continue to extract profits from both sides, often farming funding rates and arbitraging between markets.”

How High Can Bitcoin Go?

Bitcoin’s potential price ceiling depends on a mix of technical, on-chain, and fundamental factors. Here’s a breakdown of projections and scenarios:

• $109,000–$116,000: Breaking above the $106,000 neckline resistance could see Bitcoin test its previous all-time high of $109,000. Cointelegraph suggests a move to $116,000 could occur as early as this week if momentum persists.
• $130,000–$138,000: The cup-and-handle pattern’s technical target points to $138,000, while Tracy Jin, the COO of MEXC, projects $130,000 by Q3 2025, driven by sustained institutional inflows.

“Bitcoin, however, is showing resilience. The asset has posted six consecutive weeks of growth, closing near $106,500. The $105,800 level is a key resistance zone: a confirmed breakout could open the way toward $109,000, with optimistic projections reaching $130,000 in Q3 and potentially $150,000 by year-end,” Jin commented.

• $150,000–$180,000 by Year-End: Ryan Lee, an analyst at Bitget Research, projects Bitcoin could reach $180,000 by the end of 2025, driven by institutional adoption and limited supply. Tracy Jin also sees $150,000 as achievable, citing Bitcoin’s growing role in diversified portfolios.

“Bitcoin may not hit a new all-time high in May, but is likely to oscillate around its current ATH within the next 1-2 months. Market consolidation is expected as investors digest recent gains and institutional interest stabilizes. Volatility remains, but a breakout could occur soon after,” Lee said.

• Volatility Risks: Despite the bullish outlook, a short-term pullback to the $92,400–$95,000 range (aligned with 50-day and 200-day EMAs) is possible, especially given the Relative Strength Index (RSI) crossing the overbought threshold of 70 and bearish RSI divergence, as noted by Cointelegraph.

Potential Risks

While the outlook is bullish, risks remain:

• A deeper correction to $91,000–$98,500 could occur if the $97,000–$98,500 support fails, as warned by Tracy Jin.
• Dr. Kretov highlights the possibility of a sharp dip to liquidate weak hands, given elevated volatility and profit-taking by large players.
• Historical failures, like the February 2020 golden cross preceding a 62% crash, underscore the need to monitor broader market conditions.

Key Support and Resistance Levels

Why Bitcoin’s Rally Could Continue

Bitcoin’s structural appeal is growing, with its $2 trillion market cap still dwarfed by gold’s $21 trillion, as noted by Tracy Jin. Its fixed issuance, transparency, and role as a hedge against macroeconomic imbalances make it a compelling asset for institutional and sovereign investors. The combination of strong technical patterns, institutional inflows, and favorable macro conditions positions Bitcoin for potential new highs in the coming months.

However, investors should remain cautious. Ryan Lee advises against significant selling in the near term, given Bitcoin’s long-term potential, but monitoring market cycles is crucial. A consolidation phase or correction could precede the next leg up, as suggested by both Lee and Kretov.

Check also my previous analysis and predictions for other major crypto tokens:

• XRP News: Why XRP Is Going Up and Price Predictions (May 2025)
• Dogecoin Price Today Test February Highs: DOGE Live Chart, Forecast, and May 2025 Predictions

Bitcoin News, FAQ

Why is Bitcoin up right now?

Bitcoin is up over 3% today, reaching an intraday high of $106,851 on May 20, 2025, driven by strong institutional demand, with $6.9 billion in U.S. spot Bitcoin ETF inflows over three weeks and corporate purchases like Strategy’s $765 million and Metaplanet’s $129 million BTC acquisitions.

How much will 1 Bitcoin be worth in 2025?

Projections for Bitcoin’s value by the end of 2025 vary. Ryan Lee from Bitget Research predicts $180,000, driven by institutional inflows and limited supply. Tracy Jin from MEXC estimates $150,000, citing Bitcoin’s growing role in portfolios. Technical analysis suggests a range of $130,000–$138,000 if the cup-and-handle pattern plays out, though short-term corrections could occur.

How high will Bitcoin go in 2025?

Bitcoin could reach $138,000 in the near term if it breaks the $106,000–$109,000 resistance, per Cointelegraph’s cup-and-handle analysis. Optimistic forecasts project $150,000–$180,000 by year-end, supported by institutional adoption and macroeconomic tailwinds. However, volatility may lead to pullbacks to $91,000–$98,500 before sustained breakouts.

What will Bitcoin be worth in 5 years’ time?

Predicting Bitcoin’s value in 2030 is speculative, but its growing adoption as a macro asset and hedge against fiat risks suggests significant upside. Analysts like Ryan Lee emphasize long-term potential due to institutional and sovereign interest, with estimates ranging from $200,000 to $500,000, depending on market cycles, regulatory developments, and global economic conditions. However, volatility and unforeseen events could impact this outlook.