Bitcoin has achieved a new all-time high of $124,002.49 as of August 14, 2025, propelled by growing expectations of Federal Reserve rate cuts, sustained institutional investments, and favorable regulatory changes under President Donald Trump's administration. Ether also surged to $4,780.04, its highest level since 2021. This market rally follows President Trump's pro-crypto policies, including an executive order allowing crypto assets in 401 retirement accounts and regulatory reforms easing crypto investment.
In 2025, Bitcoin has risen nearly 32%, fueled by the U.S. Securities and Exchange Commission’s overhaul of crypto regulations and the passage of stablecoin legislation. The overall crypto market capitalization now exceeds $4.18 trillion, significantly higher than the $2.5 trillion recorded in November 2024. Analysts suggest that a sustained Bitcoin price above $125,000 could drive it to $150,000. While the inclusion of crypto in retirement plans may benefit firms like BlackRock and Fidelity, it also introduces higher volatility risks compared to traditional assets.
The surge in cryptocurrency markets under President Trump's second administration has sparked a wave of U.S. crypto companies rushing to go public. Investor optimism, favorable regulations, and all-time high valuations have contributed to this trend. Notably, Bullish raised over $1.1 billion in an IPO, while Circle made a remarkable NYSE debut, with its stock surging from $31 to $153.16, valuing it at $35 billion. The Senate’s passage of the Genius Act, a new regulatory framework for stablecoins, further boosted market confidence and IPO momentum.
Citigroup is considering entering the stablecoin and digital asset custody market in response to recent U.S. policy changes supporting broader use of stablecoins. The bank is exploring providing custody for high-quality assets backing stablecoins, such as U.S. Treasuries and cash. Additionally, Citigroup is looking into stablecoin-based payment solutions to improve settlement speeds and efficiency. The bank is also assessing broader digital asset services, including custody for assets underlying crypto ETFs, which have grown significantly since SEC approval of bitcoin spot ETFs.
In a significant legal development, Do Kwon, a South Korean cryptocurrency entrepreneur known as "the cryptocurrency king," pleaded guilty in a Manhattan federal court to two counts of fraud related to the $40 billion collapse of Terraform Labs. The charges involved conspiring to commit commodities, securities, and wire fraud, as well as a separate count of wire fraud. Kwon co-founded Terraform Labs, which launched the stablecoin TerraUSD, claiming it was a safe investment. Its collapse in May 2022, alongside its companion token Luna, led to massive investor losses worldwide. Under a plea deal with U.S. prosecutors, Kwon agreed to serve no more than 12 years in prison, though federal guidelines suggested a 25-year sentence. He will forfeit over $19 million in assets and relinquish his stake in Terraform Labs and its cryptocurrencies. Sentencing is set for December 11.
The cryptocurrency industry continues to evolve rapidly, with significant market movements, regulatory changes, and legal proceedings shaping its future. Investors and stakeholders are closely monitoring these developments to navigate the dynamic landscape of digital assets.
