On Monday, Bitcoin had a remarkable boost, surging over 10%. It briefly crossed the $34,500 mark, and this surge was largely driven by growing optimism about the approval of a U.S. exchange-traded fund (ETF) focused on Bitcoin.
Bitcoin, the largest cryptocurrency by market capitalization, reached as high as $34,616 during Monday’s trading session, its highest level since May 2022, according to CoinDesk. However, it later settled around $33,021 by Monday evening.
The U.S. Securities and Exchange Commission (SEC) has historically rejected Bitcoin ETF applications, citing concerns about the potential for market manipulation. However, there is growing anticipation that this stance might be changing.
On Monday, a U.S. Appeals court issued a mandate confirming its August ruling, which overturned the SEC’s rejection of Grayscale Investments’ attempt to convert its Bitcoin Trust product into an ETF. This legal victory solidified Grayscale’s position.
The possibility of Bitcoin ETF approval has generated a lot of excitement, with many experts predicting that it could lead to “historic price increases” for the cryptocurrency. The approval of Bitcoin ETFs will open up new avenues for both institutional and retail investors to access Bitcoin within established regulatory frameworks, potentially fueling a crypto bull market.
