Author: CryptoTalk
Source: Digital Currency Traders
Translated by: Plain Blockchain
Bitcoin breaks through $105,000 again.
Ethereum once again stands above $2,500.
We've seen these prices before - but this time feels completely different.
The headlines are dominated by two major events: a historic trade agreement between the United States and the United Kingdom, and the renewed surge in the crypto market. But if you've been in the crypto space long enough, you know that prices alone tell far from the whole story.
Let's talk about what's really happening - and why this feels like the beginning of a completely new chapter.
History repeats... but slightly differently
Bitcoin first touched $100,000 in late 2024, driven by ETF approval, relaxed Federal Reserve policies, and institutional demand. Ethereum has also broken through $2,000 multiple times in previous bull markets - in early 2021, during the 2024 DeFi revival, and during the Non-Fungible Token craze.
But in each previous rally, excitement was more speculative. Momentum was primarily driven by hype and liquidity, rather than long-term fundamentals. Ultimately, we witnessed significant pullbacks that wiped out much of the paper wealth.
Fast forward to today - May 2025.
Bitcoin is back at $100,000, trading at $105,000. Ethereum firmly stands above $2,500. But this time is different. The foundation is more solid, the macroeconomic environment is more favorable, and most importantly, the technology has matured.
A trade agreement of profound significance
Earlier this week, US President Donald Trump and UK Prime Minister Keir Starmer announced a milestone trade agreement aimed at improving market access and reducing tariffs between the US and UK. Key points include:
Reducing tariffs on 100,000 UK-manufactured cars from 25% to 10%
Eliminating aircraft parts tariffs
Removing the 19% ethanol tariff for the UK
Standardizing steel and aluminum tariff rates to 25%
Beyond specific terms, this agreement sends a powerful signal: global economic cooperation is back on the agenda. This alleviates market concerns about rising protectionism and restores the certainty missing from global trade for years. Investors reacted quickly - not just in stock and commodity markets, but also in the crypto market. The $5 billion in new export opportunities and $6 billion in US tariff revenue are just additional benefits. The real value lies in confidence.
And confidence is precisely what drives the crypto market's flourishing.
Why this $100,000 Bitcoin is more "real"
Bitcoin's price is no longer just a reflection of supply and demand - it reflects its increasingly important role in the global financial system.
When Bitcoin first broke $100,000 in 2024, there were questions:
Will ETFs be sustainable?
Will institutions continue to stay?
Will national adoption continue?
One year later, the answers are affirmative.
ETFs are thriving. Institutions are no longer "exploring cryptocurrencies" - they are deeply involved. Countries are integrating Bitcoin into their treasuries and settlement systems. Even traditional banks are beginning to offer custody and staking services.
Bitcoin is no longer a speculative asset - it has become a foundational asset.
This $100,000 milestone is supported by long-term holders, sovereign wealth funds, and infrastructure that didn't exist a few years ago. Glassnode data shows that over 70% of Bitcoin has not moved in the past 6 months. This is belief, not FOMO.
Ethereum breaks $2,500 - DeFi makes a strong comeback
Ethereum breaking $2,000 is not new - but the story behind it is different.
In early 2021, Ethereum touched $4,800 at the bull market peak. At that time, the market was dominated by Non-Fungible Tokens, meme coins, and high gas fees. Many projects were interesting but unsustainable.
In 2024, Ethereum broke $2,500 again with the return of DeFi protocols and staking fever. But it still faced challenges of network congestion, high costs, and regulatory scrutiny.
Today, in 2025, Ethereum stands at $2,500 and is flourishing. Thanks to the Pectra upgrade, the Ethereum network is faster, more efficient, and more scalable. Staking yields are quite attractive. Layer-2 scaling solutions (Rollups) handle most transactions. Real-world applications - from tokenized assets to enterprise blockchain integration - are accelerating.
The Total Value Locked (TVL) on Ethereum has surged 41% in the past month, now at $61 billion. This is not hype - this is real usage. Developers are building, capital is flowing in, and the ecosystem is coming back to life.
Macro tailwinds supporting the crypto market
Another reason this rally feels different is: macroeconomic tailwinds.
The Federal Reserve recently maintained interest rates at 4.25%-4.5%. While not announcing rate cuts, Fed Chair Jerome Powell clearly stated they are closely monitoring data and open to easing later this year. This is good news for the crypto market.
Lower rates mean cheaper capital, reduced bond competition, and greater appetite for risk assets. Combined with geopolitical uncertainty and declining confidence in fiat currencies, it's no wonder people view Bitcoin and Ethereum as alternative value stores and financial infrastructure.
We are entering a phase where traditional markets and crypto markets are no longer decoupled - they are intertwined. When the Federal Reserve makes a move, the crypto market surges.
Why this is just the beginning
Skeptics will say: "We've seen this before."
They're right - we have seen Bitcoin break $104,000 and Ethereum break $2,500. But they overlook the context.
In 2021, we were experimenting.
In 2024, we were rebounding.
In 2025, we are building.
Institutional demand is no longer speculative - it's strategic positioning.
The Ethereum ecosystem is no longer congested - it is thriving.
Bitcoin's role is no longer questioned - it has been accepted.
Developers are no longer guessing - they are executing.
This is not a peak, but a launchpad.
Infrastructure is in place. Technology is ready. The world is watching. The next phase is not just about crypto prices - it's about financial sovereignty, programmable money, and moving from centralized systems that no longer serve most people to decentralization.
Summary
I've seen Bitcoin rise from $20,000 to $3,000, then surge to $69,000, and break $100,000 twice.
I've seen Ethereum rise from $80 to $4,800, then fall back. I've witnessed the ups and downs of hype cycles.
But this time, it feels different.
Fear has dissipated. Builders never left. Smart money is still in the game.
Bitcoin at $105,000 is no longer an unreachable target - it's a base.
Ethereum at $2,500 is not a peak - it's a floor.
If you're reading this article, you're still an early player. There will certainly be more volatility ahead. But the long-term direction is clear.
The future is decentralized. The tracks are being laid. This is just the beginning.
Article link: https://www.hellobtc.com/kp/du/05/5851.html
Source: https://s.c1ns.cn/MFXTL
