Get ready, traders: Bitcoin hits highest than ever!
Investors might have had the luckiest and craziest week in the history of cryptocurrency! Why? Because Bitcoin has reached almost higher than ever!
Bitcoin surged rapidly on Friday and hit a six-month high, close to the record set in April! Why? This is mostly because traders start to believe that US regulators will approve the launch of exchange-traded funds based on their futures contracts.
The world’s largest cryptocurrency rose nearly 4% to $59,664, the highest level since mid-April. Its value has doubled this year, approaching the all-time high of $64,895 set in April.
What is causing the crazy surge of Bitcoin?
The main news is the US Securities and Exchange Commission (SEC) is preparing to allow the first US Bitcoin futures ETF to start trading next week.
Ben Caselin, head of research and strategy at Asian cryptocurrency exchange AAX, said that Bitcoin’s soaring above $59,000 is not arbitrary, and long-term investors have accumulated for some time.
A tweet from the Investor Education Office of the US Securities and Exchange Commission also stimulated Friday’s surge.
Cryptocurrency investors have been waiting for news that the country’s first Bitcoin ETF has been approved. Some of Bitcoin’s rebound in recent months have been looking forward to this move and how it will accelerate its mainstream adoption and trading.
A few fund management companies, including Trust, Invesco, VanEck Bitcoin, ProSharesValkyrie, and Galaxy Digital Funds, have applied to launch Bitcoin ETFs in the United States. Canada and Europe have already established Cryptocurrency ETFs this year.
SEC Chairman Gary Gensler has previously stated that the crypto market involves many tokens. These tokens may be unregistered securities whose prices are susceptible to manipulation, and millions of investors are sensitive to risks.
ProShares and Invesco base their proposals on futures contracts. They submit these proposals following what Gensler calls mutual fund rules to provide “important investor protection.”
Anyway, it seems a big time is coming in the Bitcoin trading history, so prepare yourselves, traders!