Bitcoin Breaks $45,000 Barrier Amid Anticipation of ETF Approval; Predicted to Hit $54,000
Summary:
Bitcoin's value has surged past the $45,000 mark - a height unseen for nearly two years, amid expectations of the approval of a spot Bitcoin exchange-traded fund (ETF). Despite varying speculations about the impact of an approved ETF on Bitcoin's price, a notably optimistic prediction suggests a further surge to $54,000 post-approval. Contrarily, some anticipate the initial phase of a Bitcoin ETF may disappoint by market standards but it could attract trillions in inflows over time.
Bitcoin (BTC) has surged past the $45,000 mark, a figure unseen for almost two years, amidst anticipation of the upcoming approval of a spot Bitcoin exchange-traded fund (ETF). Bitcoin's worth increased sharply from $42,000 at the beginning of the year, going up more than 5% in the past day and delivering a 170% increase over the past year, according to data from Coingecko. The cryptocurrency has started 2024 on a high note, smashing past records set in 2023 and setting a fresh annual peak. Bitcoin’s recent growth comes as the suspense builds around the Securities and Exchange Commission's (SEC) decision on the approval of one or more of the 14 proposed spot Bitcoin ETF products.
The last time Bitcoin saw such high figures was nearly 20 months ago - April 5, 2022, to be specific - when it closed at $45,241, before entering a prolonged bear market that saw its value dwindle down to $15,600, based on TradingView data.
Crypto-market pundits are at odds regarding whether approval of an ETF will drive Bitcoin's price upwards or downwards. Analytics experts at Greeks.live, a digital asset options trading platform, don't foresee a significant upswing in Bitcoin's price immediately after ETF approval. On the other hand, trader Scott Melkor, with a following of 925,000 on Traders on X, is of a more optimistic viewpoint. He claims Bitcoin to currently be shaping a "bull pennant", following a month-long period of prices hovering around the $40,000 mark. He suggests Bitcoin could elevate to as much as $54,000 in the wake of SEC's approval.
In contrast, VanEck advisor Gabor Gurbacs envisions that the initial phase of a spot Bitcoin ETF might be viewed as a "let down" by broader market standards. However, he maintains that these products could pull in trillions of dollars worth of inflows in the coming years.
Published At
1/2/2024 3:59:31 AM
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