Bitcoin hits new all-time high above $125,000
Bitcoin surged to a record high above $125,000 on October 5, 2025, driven by strong ETF inflows and institutional demand. Ethereum traded near $4,500, eyeing resistance at $4,600, while the total crypto market cap exceeded $4 trillion. This rally marks a return to bull territory amid economic uncertainty.
On October 5, 2025, Bitcoin broke its August all-time high of $124,000, reaching up to $125,900 in the early hours, according to CoinGecko and CoinMarketCap data. The cryptocurrency's market capitalization stood at approximately $2.5 trillion, surpassing Amazon's valuation and approaching silver's. This breakthrough followed a period of consolidation, with Bitcoin dipping below $110,000 in recent months before recovering over $10,000 from September 29 to October 3, 2025. A cooldown after the August peak led to range-bound trading in September, but momentum built with the U.S. Federal Reserve's interest rate cuts, pushing prices to $118,000 temporarily.
The rally coincided with massive inflows into U.S. spot Bitcoin and Ethereum exchange-traded funds (ETFs), totaling over $4.5 billion last week, per SoSo Value. Bitcoin ETFs alone attracted $3.2 billion, led by BlackRock's iShares Bitcoin Trust (IBIT) with $1.78 billion and Fidelity's FBTC at $692 million. Ethereum ETFs saw $1.29 billion, with BlackRock's ETHA fund inflowing $687 million. Since the start of 2025, these ETFs have drawn over $70 billion, signaling institutional confidence and positioning for market recovery. Crypto research firm 10x Research noted, "Behind the scenes, billions of dollars in ETF inflows and a quiet shift in institutional behavior suggest that this breakout may have deeper roots."
Ethereum hovered below $4,600, with liquidity clustered between $4,000-$4,200 and $4,600-$4,700, as observed by analyst Ted Pillows. Momentum indicators like the RSI at 57 indicated neutral sentiment. The total cryptocurrency market capitalization hit a record $4.35 trillion, exceeding the UK's GDP and topping September's $4 trillion peak, with Bitcoin and Ethereum accounting for over 65% or about $3 trillion. Liquidations reached $394 million, mostly shorts, on CoinGlass. Analysts at Cryptopolitan project Bitcoin could reach $160,000 by year-end, viewing it as a hedge against inflation amid U.S. government shutdown and geopolitical tensions. JPMorgan highlighted the "debasement trade," where investors turn to Bitcoin and gold amid high debt and waning dollar dominance.