Bitcoin Price Hits 21-Month High, Surges Over 6% to Break $45,000
The price of Bitcoin experienced a significant surge on Tuesday, breaking above the $45,000 mark for the first time since April 2022. The world’s largest cryptocurrency reached a 21-month high of $45,386 earlier in the day and ended up with a 6.43% increase, settling at $45,317.67. This surge in Bitcoin price sparked optimism in the broader crypto market, causing other tokens to trade higher as well.
Other Cryptocurrencies Follow Bitcoin’s Lead, Trading Higher
Alongside Bitcoin’s rise, other tokens in the crypto market also experienced gains. Ethereum (ETH) rose by 3.8%, Solana (SOL) gained over 7%, and Cardano saw a rise of over 5%. This rally in the overall crypto market suggests a positive sentiment and increased investor interest in digital assets.
SEC Expected to Approve Launch of Bitcoin ETF, Fueling Rally
The surge in Bitcoin’s price comes amidst expectations that the US Securities and Exchange Commission (SEC) will approve the launch of a spot Bitcoin Exchange-Traded Fund (ETF). The SEC has a deadline of January 10 to either approve or reject the Ark/21Shares ETF. Speculation suggests that the SEC may notify issuers as soon as Tuesday or Wednesday, indicating a potential approval for launch in the following week.
Asset Management Companies Update Filings for Spot Bitcoin ETFs
Several asset management companies aiming to be among the first to launch spot Bitcoin ETFs have updated their filings with the SEC. BlackRock Asset Management, VanEck, Valkyrie Investments, Bitwise Investment Advisers, Invesco Ltd., Fidelity, WisdomTree Investments, and a joint venture between Ark Investments and 21Shares have all submitted revised documents detailing their arrangements with market makers to ensure efficient and liquid trading.
Crypto Issuers May Launch ETFs by January 10, Sources Say
Market participants anticipate that issuers who met their end-of-year filing revision deadlines may be able to launch their spot Bitcoin ETFs by January 10. The revised filings and the potential approval from the SEC have created excitement in the crypto market, as the launch of a Bitcoin ETF could bring more institutional investors into the space and further drive the adoption and acceptance of cryptocurrencies.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Please consult with a professional financial advisor before making any investment decisions.
Analyst comment
Positive news: The price of Bitcoin surges over 6% to break $45,000, reaching a 21-month high. Other cryptocurrencies also see gains. The market sentiment is positive, with increased interest in digital assets.
As an analyst, I predict that the market will continue to experience bullish momentum, with potential approval of the Bitcoin ETF by the SEC fueling further growth. Issuers may launch their ETFs by January 10, attracting more institutional investors and driving the adoption of cryptocurrencies.
