Bitcoin has reached a historic milestone, surpassing the $100,000 mark for the first time, fueled by strong institutional demand, increasing corporate interest, and the prospect of more crypto-friendly policies under President Donald Trump. After a slow start to 2024, Bitcoin’s price has surged, driven in part by Trump’s election victory in early November, which reignited the rally that had stalled earlier in the year.

With a year-to-date gain of approximately 130%, Bitcoin’s market capitalization is now approaching $2 trillion, a remarkable achievement for the cryptocurrency, which was only created 15 years ago. For comparison, major tech companies like Apple and Nvidia have market caps of around $3.5 trillion, while Microsoft stands at $3 trillion, and both Google and Amazon are valued at about $2.2 trillion. The total value of all gold worldwide is roughly $17.7 trillion.

A key factor in Bitcoin’s recent rise has been the launch of Bitcoin spot exchange-traded funds (ETFs) by major asset managers such as BlackRock and Fidelity. These ETFs have garnered significant success, amassing nearly $30 billion in assets under management in just under a year.

Despite the success of these funds, Bitcoin’s price had been relatively flat for much of 2024, hindered by uncertainty surrounding the U.S. presidential election. However, Trump’s election victory in November provided the rally with new momentum, pushing Bitcoin past its March high of $73,500, and quickly climbing through $80,000, $90,000, and eventually breaking the $100,000 barrier.

Corporate adoption has also played a crucial role in driving Bitcoin’s bull run. MicroStrategy, led by Executive Chairman Michael Saylor, has been one of the most prominent advocates of Bitcoin, purchasing billions of dollars’ worth of the asset since August 2020. The company now holds 386,700 Bitcoin, valued at over $38 billion. Saylor’s strategy has inspired other companies, including Semler Scientific in the U.S. and Metaplanet in Japan, to follow suit. Even Microsoft is reportedly considering a Bitcoin treasury strategy, with its board currently evaluating the proposal.