Bitcoin Hits $111,500 Amid Record-Breaking Rally and Miner Challenges

On May 25, Bitcoin reached a new all-time high of $111,500, showing an 18% increase for the month and boosting its market capitalization to $2.15 trillion. Institutional inflows into ETFs exceeded $45 billion in the past month. Solana stood out in May with a 23% rise to $186, processing a record 4.1 billion transactions. Ethereum is trading at $2,650, up 12% over the month, with Layer-2 solutions reducing fees to $1.20. Analysts from Octa Broker note that Bitcoin has become a 'safe-haven asset' in the crypto space, attracting capital away from risky altcoins amidst macroeconomic uncertainty. Meanwhile, despite record-breaking prices, miners are experiencing difficulties. The network's hash rate reached 921 EH/s in May, a 77% increase since the start of the year, but profitability remains under pressure post-halving. Major public miners sold 115% of their April production, prioritizing survival over 'hold' strategies. Companies like CleanSpark and IREN are expanding using new ASIC miners from Bitmain, increasing competition. Crypto optimists forecast Bitcoin reaching between $130,000 and $1.5 million. Cyclop predicts a peak between November and December 2025 based on 29-month cycle analysis. Adam Back (Blockstream) projects a target of 'several hundred thousand dollars' by year-end, while Arthur Hayes (BitMEX) forecasts $250,000 if the Fed returns to quantitative easing. The most bold bulls envision Bitcoin hitting $1.5 million if the U.S. officially adopts it into strategic reserves.