Bitcoin Surges to New All-Time High; Ether Trades Close to $4,800

The original cryptocurrency briefly surpassed $124,500 in the early hours of Thursday trading before significantly paring gains in the European daytime. As at 13:31 UTC, Bitcoin had slipped to $118,205.

The rest of the crypto market followed, with major altcoins like Ether and Solana posting notable overnight gains, supported by momentum surrounding Bitcoin’s rise. Ether traded as high as $4,792, creeping towards its record-high set in 2021.

“It’s telling that both assets are surging like this in tandem, and it signals more broad market conviction than just a single-asset rally,” said Ben Kurland, CEO of DYOR, a crypto market analysis firm, in a statement to Forbes. “Momentum this strong often has legs because it tends to draw in latecomers who can further fuel even more volatility.”

All eyes on Powell

The latest all-time high comes as investors increasingly bet on an interest rate cut by the US Federal Reserve in September. Softer economic indicators, including weaker job growth and stable inflation readings, have shifted the US macroeconomic outlook toward monetary easing.

CME's FedWatch tool predicts a close to 100% probability of rate relief at the Fed’s next policy meeting. President Trump has repeatedly urged Fed Chair Jerome Powell to lower rates, while Treasury Secretary Scott Bessent has been advocating a reduction of 150 basis points, starting with a cut of 50 basis points in September to spur economic growth.

Equities follow suit

US stocks also rallied Wednesday. The Dow Jones Industrial Average climbed 1% while the S&P 500 benchmark and the Nasdaq Composite Index both marked record highs.

Investors currently seem unfazed by the administration’s ongoing trade war, including the reinstatement of retroactive tariffs on multiple trading partners.