Bitcoin’s bull market is gaining momentum as analysts at Bernstein predict the next major rally is underway. The surge began in late 2023 with the approval of spot Bitcoin ETFs in the U.S., pushing prices from $25,000 to $46,000. Bitcoin reached an all-time high of $74,000 before a temporary pause, fueled by strong ETF inflows.

Donald Trump’s pro-crypto policies have triggered another wave of growth, with his administration aiming to make the U.S. the “crypto capital of the world.” Plans include creating a national Bitcoin reserve and favorable regulations for digital assets. On Inauguration Day, Bitcoin skyrocketed to $109,000 as markets reacted to these bold moves.

Funding for the Bitcoin reserve could come from the Federal Reserve or Treasury, possibly by issuing debt or selling gold reserves. Government-seized Bitcoin, worth around $20 billion, could also be added, sparking a global race among nations to accumulate cryptocurrency as a strategic asset.