Bitcoin reached a record high of $122,000 on October 3, 2025, driven by investment from institutions and the influx of exchange-traded funds (ETFs). This surge has fueled an optimistic outlook reflected in market sentiment. According to Binance Market Data, Bitcoin is now the fifth largest asset by market cap. This significant jump comes after years of regulatory change, including policies allowing Bitcoin in 401(k) plans. President Donald Trump signed an executive order on Thursday directing the Labor Department to explore enabling 401(k)s to hold cryptocurrencies and alternative assets. The surge signifies growing institutional interest and acceptance of Bitcoin as a mainstream investment asset, leading to increased market activity affecting related sectors and currencies.