Bitcoin soared past $120,000 in early October 2025, fueled by a confluence of factors including institutional investments, anticipation of US Federal Reserve rate cuts, and widespread market optimism despite the ongoing US government shutdown. This surge underscores Bitcoin’s growing significance in financial markets as significant price increases are being driven by both institutional interest and speculation surrounding potential rate cuts. 2025 saw notable moves from institutions such as MicroStrategy, Metaplanet, and prominent Bitcoin ETF issuers as they fueled this rally. The bullish momentum aligns with insights shared by experts, who highlight the influence of recent market events. The combination of anticipated US Fed rate cuts and an active social media presence by cryptocurrency advocates is creating a perfect storm for Bitcoin’s price.