Bitcoin has shattered the $45,000 mark, a milestone not seen since April of the previous year. This surge is riding on a wave of hopeful anticipation for the green light on spot bitcoin exchange-traded funds (ETFs) from regulators.
The digital currency reached a high of $45,532, marking a 156% increase from last year, echoing its impressive performance from 2020. Currently, it trades slightly higher, indicating sustained investor interest despite being below its all-time high of $69,000 from November 2021.
Ether, Ethereum’s native token, also showcased a strong start, climbing 2.6% to $2,414, continuing its 91% climb in the last year.
Notably, cryptocurrency-related stocks are experiencing premarket surges. Riot Platforms, Marathon Digital, and CleanSpark have seen their stocks jump between 11.3% to 14.8%, rebounding from last year’s declines. Coinbase and MicroStrategy also enjoyed a rise of 6.3% and 9.4%, respectively.
Investors are keenly watching the U.S. Securities and Exchange Commission (SEC), as it deliberates over the introduction of a spot bitcoin ETF, a decision that could attract a broader investor base and potentially billions in new investments.
The market is poised for a reaction, approval could catalyze further growth, while rejection might trigger a sharp downturn. Additionally, the prospect of central banks reducing interest rates this year is casting a positive light on cryptocurrencies, offering a respite from the shadows of 2022’s market troubles.
