As a continuation of its eclectic rally, the Bitcoin (BTC) price has just breezed past the $43,000 mark to set a new high for the year. At the time of writing, market data reveals Bitcoin is now changing hands at $44,058.37, up 4.5% in the past 24 hours.
With the current market outlook, Bitcoin has now extended its gains for the week to 14.35%. One crucial question now remains whether the ongoing surge is a temporary one that may stir a reversal or the start of a mega rally, as 4th quarters are historically known for.
Bitcoin entered the year with its price trading at less than $16,000 and with much uncertainty. While the coin entered the year with deep regulatory uncertainty, the outlook soon changed when the rhetoric around the spot Bitcoin Exchange Traded Fund (ETF) application was ignited by American investment management giant, BlackRock.
With BlackRock throwing its weight on the nascent asset via the application, other firms whose previous applications were rejected soon re-filed their applications. The narrative became more properly twisted when Grayscale Investments secured victory in its legal tussle with the United States Securities and Exchange Commission (SEC) in its bid to convert the Grayscale Bitcoin Trust (GBTC) to spot Bitcoin ETF.
These positive trends around the Bitcoin ETF pushed the price of Bitcoin above $31,000 by mid-year and the digital currency has been on a consistent ride since then. Even with critics thumping down on the coin’s growth potential, the market enthusiasm got inflamed more with the likes of MicroStrategy fanning the flames with their steady Bitcoin acquisitions.
Now, the sentiments that got Bitcoin here are intensifying, and as such, chances are that Bitcoin’s (BTC) price will breach the $50,000 resistance point.
While Bitcoin (BTC) is sufficiently stoked in all regards, the expectation that the much-awaited spot ETF product will get approved is billed to further drive the hype to new levels.
Experts have predicted that BTC ETF approval is imminent and if officially confirmed, it will usher in more than $100 billion worth of institutional money, a development that will impact positively on the price of the cryptocurrency.
The expectation is that an approved Bitcoin ETF will help usher in the bull market cycle and help return investors to the past crypto glory days.