Bitcoin surged past the $120,000 mark for the first time on Monday, setting a new record as optimism grows over potential regulatory clarity in the US.Bitcoin reached a new all-time high of $121,207.55 during Monday's Asian trading session, before settling at $120,856.34, representing a 1.5% increase, Reuters reported.Starting this week, the US House of Representatives is set to debate multiple bills aimed at establishing a long-awaited regulatory framework for the digital asset sector. The push for clearer rules has gained momentum under US President Donald Trump, who has dubbed himself the "crypto president" and called for industry-friendly reforms.Bitcoin hit a record high of $119,240.26 on Sunday evening and has since hovered near the $118,000 level.The cryptocurrency has gained 29% since the beginning of the year, contributing to a broader upward movement in other digital currencies despite the uncertainty surrounding Trump's tariff policies.Ether, which ranks second in market capitalisation, reached its highest level in more than five months at $3,048.23 on Monday, and was subsequently trading at $3,036.24. According to CoinMarketCap data, the total cryptocurrency market capitalisation has expanded to approximately $3.78 trillion.