On Monday, Bitcoin traded at $84,256, marking a 3.8% increase and reaching a peak of $85,229, its highest since January. This rally has led investors to speculate whether the downturn that followed Bitcoin's record high of over $126,000 in October 2025 is concluding.
Matt Hougan, CIO at Bitwise, expressed optimism, suggesting that the current market conditions could lead to the strongest bull market in cryptocurrency history. Despite being down year-to-date, Bitcoin has gained over 7% in the last five days and nearly 35% in the past three months. Analysts at BTIG noted that as long as Bitcoin maintains above $75,000, there is potential for it to reach $90,000.
The recent rally occurred despite the U.S. Senate's decision to block the Clarity Act, which aimed to establish a regulatory framework for cryptocurrencies. Hougan indicated that the current regulatory environment under the SEC and CFTC is favorable for crypto, potentially leading to stronger market conditions.
He also mentioned a shift in investor focus from AI stocks back to cryptocurrencies, as momentum in AI has stabilized, allowing capital to flow back into the crypto market