Bitcoin’s price has jumped over $3,000 in the past two days, rising to $45,870 on January 2nd, 2024. This newest bull run was sparked by growing optimism that a Bitcoin exchange-traded fund (ETF) may finally be approved by the SEC this week.
Major players in the crypto space like BlackRock are seeking ETF approval, with the asset management giant predicting a decision as early as this week.
BlackRock’s potential Bitcoin ETF would be the first of its kind. Competitor Grayscale has also filed an amended application for a Bitcoin ETF.
In anticipation of an ETF greenlight, over $150 million has already flowed into Bitcoin spot markets in just hours. The influx has driven Bitcoin to its highest price since April 2022. Other major cryptocurrencies like XRP and Shiba Inu have also rallied, rising 2% and 7% respectively.
Crypto whales have been stockpiling coins ahead of the expected ETF launch. A single transaction of 231 million SHIB tokens was recorded between unknown wallets, sparking discussion of accumulation. Known figures like Justin Sun have bought hundreds of billions of SHIB coins.
While some traders admit they underestimated Bitcoin’s rebound, others urge caution around $52,000, wary of a bull trap. But with traditional banks like JPMorgan forecasting a $16 trillion total crypto market cap by 2030, hopes run high that the ETF could usher in a new era for Bitcoin.
