Bitcoin breaks through $87,000 in the new crypto bull cycle in 2025, increasing 3.2% in the last 24 hours to $87,505 on March 24. The surge is a testament to strong investor sentiment as macro and technical fundamentals align to drive digital currencies.
Ethereum rallied 2.3% to $2,090, and overall market health drove aggregate crypto market capitalization to $2.84 trillion, a 2.94% daily increase.
Institutional Demand Drives Bitcoin Resilience
Institutional investors remain the price drivers in Bitcoin. Bitcoin wallets with more than $1 million now account for 78% of Bitcoin’s realized capitalization, according to data from CryptoQuant. It shows sustained demand by asset managers, hedge funds, and institutional private investors.
BitMEX former-CEO Arthur Hayes predicts Bitcoin to climb as high as $110,000 before coming back to the range of about $76,500. He credits the price growth with continued institutional buying and positive liquidity conditions.
Technical indicators of Bitcoin are also bearish. The Bitcoin Relative Strength Index (RSI) broke above a four-month downtrendline, indicating new buying power and trend continuation. Aside from the bulls, technical charts indicate a good level of support of $76,000 to $78,000, so potential short-term corrections before the next leg up.
Altcoins Join the Rally as Market Confidence Grows
The Bitcoin price surge is not alone. Altcoins are also rallying, confirming mounting market-wide optimism. Solana (SOL) was among the top performers, up 7% to an all-time high of more than $139. Other top-performing altcoins such as XRP, Cardano, and Dogecoin went up by 3%, 2%, and 3.8%, respectively.
This simultaneous thrust is the high demand and liquidity of digital currencies from investors and goes to prop Bitcoin’s breakout to the upper levels of the prevailing range.
The recent move of the Federal Reserve to maintain interest rates at stable levels is inspiring investor appetite for risk assets. With no sight of monetary contraction, investors are investing increasingly in high-growth assets like cryptocurrencies.
Reports observe that this rate halt has been considered a green light for further investment in crypto, particularly given that inflationary pressure is weakened and the world market is on the mend.
Bitcoin’s breakout to $87,000 is an indicator of new institutional demand, technical support for buying, and macro setup. Market participants will be looking closely at the next technical milestones and macroeconomic markers to decide whether the trend is ready to be taken.
