Why Is Bitcoin Going Up Today?

New Crypto Bull Run: Bitcoin Surges Past $100,000, Altcoins Ride the Wave

The bull run is here: Bitcoin broke $100K, and it's pulling the rest of the crypto market up with it. Let's look at what's driving the hype and what might come next.
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The Bitcoin price has surged past $100,000, driven by growing investor demand. This marks a major breakout after a deep correction. Ethereum and leading altcoins have rallied at the same time, signaling the possible arrival of a new altcoin season. This article covers the drivers behind the rally, future projections, and key altcoins worth tracking.

Why is Bitcoin rallying?

On May 8, Bitcoin's price surpassed $100,000 for the first time since December 2024. This growth is driven by a number of factors.

Macroeconomic factors and global politics

Renewed hopes for Federal Reserve rate cuts bolstered risk appetite and supported Bitcoin's advance in mid‑May 2025. Investors interpreted signals from Fed officials as favoring lower borrowing costs later this year, reducing the opportunity cost of holding non‑yielding assets like Bitcoin.
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Optimism around a US-UK trade deal further eased geopolitical tensions. On May 8, Bitcoin jumped to $101,330 after the deal was announced, up 4.7% in a single day.
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A tentative pause in US-China tariff increases provided a potent tailwind for global risk markets, including cryptocurrencies. On May 12, both nations agreed to suspend punitive tariffs for 90 days, alleviating fears of further stagflationary shocks. The swift rebound in global equities spilled over into digital assets. However, although Bitcoin rose on this news, it was the Alcoins that showed more noticeable growth.

Institutional adoption and ETF inflows

Spot Bitcoin ETFs saw significant inflows as Bitcoin held above $100,000, with US‑listed products attracting $667.4 million on May 19 – the highest single‑day total since early May. Large managers like BlackRock, Fidelity, and Grayscale continued to add to their Bitcoin ETF positions, signaling ongoing confidence.
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Major corporations continue to implement Bitcoin treasury strategies, further reducing available supply. Strategy (formerly MicroStrategy) recently purchased 7,390 BTC worth $765 million, while Japan's Metaplanet added 1,004 BTC for $129 million on May 19, 2025.

Altcoin market dynamics

Bitcoin's price surge has led to the overall growth of the crypto market. Major proof‑of‑work coins like Dogecoin and Litecoin recorded double‑digit gains. Dogecoin jumped 14% in a single session following Bitcoin's breach of $100,000, outperforming other proof‑of‑work peers.
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Solana, XRP and Cardano each recorded gains in excess of 10% over the same period, as investors sought opportunities beyond Bitcoin.
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Ethereum's mid‑May rally topped 45% month‑to‑date after its Pectra upgrade, underlining renewed demand for DeFi and smart‑contract platforms.
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Binance Coin also showed significant gains, breaking a key resistance level around $610.

Is this the start of the new altcoin season?

The cryptocurrency market is currently experiencing what experts define as a "Bitcoin season." According to the Altcoin Season Index, which tracks the 90-day performance of the top 100 cryptocurrencies compared to Bitcoin, the score registered just 23 out of 100 as of May 21, 2025. A score below 25 definitively confirms a Bitcoin-dominated market cycle, where the original cryptocurrency outperforms most alternatives.

Bitcoin's market capitalization stands at an impressive $2.14 trillion as of May 21, 2025, representing 63% of the entire cryptocurrency market.
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The cryptocurrency market's immediate future appears to favor Bitcoin, with the leading cryptocurrency maintaining its dominance through May 2025. For altcoins to enter a true "Altcoin season," Bitcoin price would likely need to stabilize and move sideways for some time, prompting investors to search for more profitable opportunities in alternative cryptocurrencies. Current indicators suggest this shift has not yet occurred, despite leading altcoins showing notable gains.

Top 3 altcoins worth keeping an eye on

As multiple indicators suggest that the altcoin season is approaching, many investors would certainly like to know which altcoins have the potential to perform better. Of course, when the true altcoin season arrives, most cryptocurrencies, both top and middle tier, will grow. Nevertheless, we have picked 3 prominent altcoins that appear best positioned to outperform when the next altcoin season hits.

Chainlink (LINK)

Chainlink plays a critical role in the Web3 stack by serving as the most widely used oracle network. It supplies essential real-time data feeds to smart contracts, enabling everything from lending and trading to gaming and insurance on-chain. As of early 2025, numerous major DeFi protocols depend on Chainlink's services, including its widely used price feeds and Verifiable Random Function (VRF) toolsets.
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Developer activity remains strong, with over 3,400 commits recorded over the last year. Chainlink is also expanding its offerings through CCIP (Cross-Chain Interoperability Protocol), enabling secure messaging and value transfer between blockchains. The LINK token has increasingly gained utility through a fee-based model that compensates node operators and secures the network. Strategic partnerships with institutions like SWIFT and Google Cloud have further embedded Chainlink into both traditional finance and the emerging decentralized economy. Its deep integration across the crypto ecosystem and its expanding product suite position Chainlink as a foundational layer with very good upside potential.

Avalanche (AVAX)

Avalanche distinguishes itself with a unique consensus mechanism and its support for customizable subnets. These subnets allow developers to launch dedicated blockchains optimized for specific use cases, such as gaming, finance, or regulatory compliance. This modular approach gives Avalanche flexibility that few other Layer 1s can match.
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In May 2025, Avalanche's TVL (Total Value Locked) rose to approximately $1.19 billion, marking an 8.5% month-over-month increase. The platform's Ethereum bridge has also locked in over $5.7 billion in assets, underscoring its relevance in multi-chain strategies. Avalanche has invested heavily in ecosystem development, with its Avalanche-X program funding multiple projects. The network's speed, low latency, and growing community of builders suggest that Avalanche is well-positioned to bring in significant returns in the next major altcoin rally.

Polkadot (DOT)

Polkadot stands apart for its unique vision of cross-chain interoperability and its deeply embedded governance and scaling architecture. Its innovative parachain model allows multiple blockchains to run in parallel, each optimized for specific use cases while benefiting from shared security. In the past year, Polkadot has recorded more than 6,600 GitHub commits across over 400 repositories, making it one of the most active developer ecosystems in the crypto space.
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Much of this growth has been fueled by community-led parachain auctions, which have locked in over $1 billion worth of DOT in staking. Polkadot's bridges to Ethereum, Cosmos, and other ecosystems are beginning to see real traction, expanding its role as a foundational layer for cross-chain applications. While it may lack the retail hype of some competitors, its technical foundation and deep developer engagement make it an undervalued asset heading into the next altcoin season.

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