Bitcoin Crosses $100,000: From Cypherpunk Dream to Financial Mainstream

Bitcoin has officially reached the $100,000 mark, a milestone that marks its evolution from a fringe asset embraced by cypherpunks and early tech enthusiasts to a mainstream financial player. Once dismissed as an experimental cryptocurrency with little real-world utility, Bitcoin has consistently defied expectations, rising through one milestone after another. From its humble beginnings at $1 in 2011 to crossing the $1,000 threshold in 2013, and now to the coveted six-figure price point in 2024, Bitcoin’s remarkable ascent speaks to its growing legitimacy as a global financial asset.
But this journey to $100,000 has not been smooth. The cryptocurrency has faced countless challenges, including market crashes, skepticism, and repeated declarations of its impending demise. Despite these setbacks, Bitcoin has repeatedly resurrected itself, gaining new strength with each cycle. As Mikko Ohtamaa, co-founder of algorithmic trading firm Trading Strategy, told Cointelegraph, "We have two to three good years to prove that crypto can change the world for the better. This is the final chance, and this time, we have a tailwind."
From Speculation to Real-World Utility
Bitcoin’s latest bull run stands out due to key differences from previous cycles. Today, Bitcoin is no longer just a speculative asset; it is increasingly seen as a safe haven, a hedge against inflation, and a recognized asset class with growing institutional support. The approval of spot-based exchange-traded funds (ETFs) in major markets like the United States and Hong Kong has made Bitcoin more accessible to a broader range of investors. Moreover, the election of crypto-friendly presidential candidate Donald Trump in the U.S. in 2024 has sparked optimism, with many hoping that regulatory changes could foster a more favorable environment for cryptocurrencies. Trump has promised to replace Securities and Exchange Commission (SEC) Chair Gary Gensler, a figure often seen as an obstacle to the industry’s growth due to his strict regulatory approach.
The Road to $100,000: Bitcoin’s Rocky Journey
Bitcoin’s path to $100,000 has been far from linear. The cryptocurrency has endured several “near-death” experiences marked by extreme volatility, market crashes, and existential doubt. One of its most significant challenges came in 2013, when Bitcoin first hit $1,000 before plummeting to $200 in 2014. The collapse of Mt. Gox, the world’s largest Bitcoin exchange at the time, added to the turmoil and left lasting scars on the industry.
Bitcoin's price surged again in December 2017, reaching nearly $20,000, driven by the ICO boom. However, this rally was short-lived, as regulatory crackdowns followed, particularly in the U.S. and China, which imposed heavy restrictions on initial coin offerings (ICOs) and Bitcoin mining. By December 2018, Bitcoin had fallen to $3,200.
Bitcoin’s next major resurgence came in 2021 when it reached $63,000, spurred by institutional interest and high-profile corporate endorsements, such as Tesla’s investment in the cryptocurrency. However, the rally faced another setback as China cracked down on Bitcoin mining, sending the price crashing down to $29,000. In 2022, after reaching a new all-time high of $69,000, Bitcoin once again experienced a sharp decline, falling to $15,000 amid broader market turmoil, including the collapse of FTX, Three Arrows Capital’s bankruptcy, and the Terra-Luna stablecoin crisis.
Bitcoin's Return: A New Era of Institutional Interest
Bitcoin's resurgence in 2024 comes at a time of renewed optimism. The approval of spot Bitcoin ETFs by the SEC in January 2024 opened the door to wider participation, particularly from institutional investors. According to Hong Kong-based market analyst Justin d’Anethan, "What’s propelling us now are factors like ETF accessibility, corporate buy-ins, and growing allocations from institutions across the globe. The shift away from the dollar in BRICS economies also adds a layer of intrigue, positioning Bitcoin as a potential hedge in a world reassessing the role of traditional reserve currencies."
What Does $100,000 Mean for Bitcoin?
For Bitcoin supporters, reaching $100,000 is a significant psychological milestone. The $100,000 mark is seen as the culmination of years of “laser eye” fervor—a social media trend where Bitcoin enthusiasts used laser-eyed profile pictures to show their unwavering belief in the cryptocurrency’s potential. However, as d’Anethan points out, the $100,000 price point is not the end of the story. "Over the past year, the rise has been largely driven by sophisticated players, like corporate treasuries (mainly MicroStrategy), ETFs, and even pension funds," he explains. "Retail investors have yet to pile in, and when that euphoria hits, it won’t stop at $100,000."
Some critics see Bitcoin’s increasing centralization as a threat to its decentralized ethos, while others, like Quary, founder of the Bitcoin marketplace Magisat, argue that Bitcoin’s decentralized nature remains intact. “Who holds Bitcoin doesn’t really affect the network in any way,” Quary said. “Hopefully, both the U.S. and BRICS economies have similar interests in Bitcoin and both own big stakes in it. That’s the best-case scenario—an unbiased decentralized network where all powers can partake.”
The Road Ahead for Bitcoin
The $100,000 milestone is a symbolic achievement, but it also signals the beginning of Bitcoin's larger journey. With the U.S. Federal Reserve expected to pivot toward rate cuts in the near future, Bitcoin could find itself in a favorable macro environment for risk assets. "As long as we don’t face a major liquidation from 2022’s bankruptcies or an unforeseen black swan, the path of least resistance seems up," says d’Anethan.
However, as history has shown, Bitcoin’s trajectory is rarely a smooth upward climb. Volatility and corrections are likely, even amid positive momentum. As global economic powers shift and monetary policies evolve, Bitcoin’s role as a hedge against inflation, a safe haven, or a symbol of financial sovereignty is becoming more evident.
Bitcoin’s rise to $100,000 is not just a story of price appreciation—it's a clear signal that the cryptocurrency has transformed from a niche asset into a legitimate financial alternative. Whether it continues to climb higher or faces another correction, Bitcoin’s journey is far from over, and its influence on the global financial landscape is only just beginning.
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