Bitcoin price gained further momentum over the weekend, approaching $41.000 per unit.
Bitcoin has surpassed $40.000 per BTC, again, driven by high market confidence in the potential approval of a Bitcoin exchange-traded fund or ETF in the United States.
For the first time since April 2022, the price of Bitcoin is trading above $40k, reaching its highest level in the last 18 months and setting a new annual high.
According to analysts, enthusiasm and optimism among Bitcoiners, investors and the crypto community in general is increasing as the probable dates for the Securities and Exchange Commission (SEC) to give its approval to this investment vehicle approach.
Bitcoin rises more than 140% in 2023 and approaches $41.000
On-chain data shows that the price of Bitcoin has recovered from the 2022 bear market, increasing by more than 140% over the past 12 months.
With this escalation in prices, Bitcoin has added more than $460.000 billion to its market capitalization market this 2023.
Source: CoinMarketCap
The break of this level, which has not been seen in over a year, comes amid market anticipation of a potential Bitcoin spot ETF.
According to data from CoinMarketCap, Bitcoin is trading at $40.711, inching closer to a new level of $41.000. At press time, the price of BTC is up nearly 3% in the past few hours, and nearly 9% in the past week.
Generational money will move to Bitcoin
Considering that the ETF is an instrument that allows investors to access different underlying assets in a transparent and regulated way, experts in the crypto industry point out that the possible approval of an investment vehicle of this kind for Bitcoin will open the doors to institutional and generational money.
Adam Back, cypherpunk, cryptographer and CEO of Blockstream, recently noted that Generational wealth of investors will flow into Bitcoin, as generations like the Baby Boomers transfer their wealth to younger generations, like Millennials and GenX.
“As boomers (ages 59-77) leave their wealth to the next generation, Gen X and millennials, more stocks, bonds and pension funds will be liquidated to buy Bitcoin”.
Gabor Gurbacs, founder of PointsVille, agrees with Back and believes that at least $68 trillion of Baby Boomers' generational wealth will move to Bitcoin over time. Gurbacs highlighted that new generations, such as GenX, Millennials and GenZ, are more open to innovative topics like Bitcoin, video games and digital assets.
On the other hand, Dennis Porter, founder and CEO of Satoshi Action Fund, believes that next year It will be one of the most significant in the entire history of Bitcoin, since The market anticipates a possible massive approval, of at least a dozen Bitcoin spot exchange-traded funds, in the US market.
Likewise, although the crypto industry is still facing heavy scrutiny from financial regulators, Porter believes that the approval of these Bitcoin ETFs will lead to new favorable regulations for cryptocurrency and the industry in general. Porter has been at the forefront of several regulatory proposals to legalize the use and mining of Bitcoin.
Finally, Bloomberg analysts commented that the recent surge in the price of Bitcoin above $40.000 may also be related to expectations of lower interest rates.
Continue reading: Adam Back: Bitcoin is digital gold for the next millennia
