Story Highlights Prolonged retail FUD amid rising demand from whale investors hints at more bullish sentiment for Bitcoin. Heavy liquidation of short traders today has increased the odds of a short squeeze ahead. The wider altcoin market, led by Ethereum and memecoin rallied in tandem with the BTC price today. Bitcoin (BTC) price has recorded a new all-time high (ATH) of about $112,000 on several cryptocurrency exchanges, led by Binance. The flagship coin surged over 2 percent in the past 24 hours, thus rallying above the former ATH of about $111,814, which was recorded on May 22, 2025. According to aggregate data from CoinMarketCap, Bitcoin’s market cap rallied above $2.2 trillion and its daily average traded volume rose 23.7 percent to hover around $53.7 billion on Wednesday, during the mid-North American trading session. Consequently, BTC is now the fifth most valuable asset after surpassing Alphabet (Google), which has a market cap of about $2.15 trillion. Top Reasons Why Bitcoin Price Rallied Today As Coinpedia has reported in the recent past, BTC price has remained stagnant amid heightened demand from institutional investors and notable crypto regulatory clarity. For instance, the U.S. spot Bitcoin ETFs have recorded more than $13 billion in net cash inflows in the past four months, led by BlackRock’s IBIT and Fidelity’s FBTC. According to market data from Santiment, Bitcoin price experienced bullish sentiment today fueled by consistent retail boredom and FUD. Moreover, BTC price has experienced a significant psychological resistance level around $109k amid the resurgence of U.S.-led tariff wars and geopolitical tensions. What Next? The BTC price rally today impacted the wider altcoin market led by Ethereum (ETH), XRP, and Solana (SOL). Following the sudden BTC price pump in the past 24 hours, more than $496 million was liquidated, with the majority involving short traders. Consequently, the odds of a short squeeze significantly increased, which could further fuel bullish sentiment in the coming days and possibly weeks. According to James Seyffart, an ETF and crypto reporter at Bloomberg, the altseason 2025 could have started with a BTC price pump towards a new ATH.