Bitcoin soared to a new record high on Friday, driven by strong interest from institutional investors and favorable U.S. government policies.

The cryptocurrency reached a peak of $116,781.10 during Asian trading, marking a year-to-date gain of over 24%. It was last traded at $116,563.11.

“Bitcoin's new all-time high is being driven by relentless institutional accumulation – major players are scooping up supply and drying up liquidity on exchanges,” said Joshua Chu, co-chair of the Hong Kong Web3 Association.

Policy signals from U.S. President Donald Trump's administration have added momentum to the rally.

In March, Trump signed an executive order to create a strategic cryptocurrency reserve.

He has also appointed key figures seen as favorable to digital assets, including SEC Chair Paul Atkins and White House AI czar David Sacks.

Trump’s business empire is also increasingly linked to the crypto market. A recent SEC filing showed that Trump Media & Technology Group is preparing to launch an exchange-traded fund that will invest in various crypto tokens, including Bitcoin.

Other digital assets followed Bitcoin’s lead. Ether, the second-largest cryptocurrency, climbed nearly 5% to $2,956.82 after touching a five-month high of $2,998.41 earlier in the session.

PHOTO: UNSPLASH

This article was created with AI assistance.