Bitcoin breaks $45K milestone, focus turns to pending US ETF approvals

Bitcoin, the world’s leading cryptocurrency, has reached a significant milestone by surpassing the $45,000 price level for the first time in nearly two years. 

This surge in Bitcoin’s price comes as the crypto market eagerly awaits the potential approval of the first spot Bitcoin exchange-traded fund (ETF) in the United States.

Bitcoin’s remarkable rise

In a remarkable turn of events, Bitcoin’s price surged from $42,000 on January 1st, 2024, to break through the $45,000 barrier. This represents a notable increase of over 6% within the past 24 hours and a staggering 170% surge in value over the last year, according to CoinMarketCap data. This achievement marks a significant new yearly high for Bitcoin, all within the first two days of 2024.

Anticipation builds around the SEC’s decision

The soaring price of Bitcoin coincides with growing anticipation regarding the potential approval of a spot Bitcoin ETF by the U.S. Securities and Exchange Commission (SEC). Currently, there are 14 outstanding applications for such ETF products awaiting a decision from the regulatory body. 

The last time Bitcoin traded above $45,000 was nearly 20 months ago, on April 5, 2022, before descending into a prolonged bear market that saw its value plummet to as low as $15,600, as per TradingView data.

Mixed opinions on ETF impact

Market experts and analysts have expressed differing opinions on how the approval of a Bitcoin ETF may affect its price in the short term. Some analysts from crypto options trading platform Greeks. live believe that Bitcoin may not experience a significant rally on the day of approval, citing diminishing implied volatility on Bitcoin options