The price of Bitcoin continues to rise, driven by the optimism and confidence that the possible approval of a Bitcoin spot ETF in the US market has aroused in investors.
Today, the price of Bitcoin (BTC) traded at $37.717, a level not seen since May of last year.
According to analysts, Bitcoin is trading higher, driven by the continued interest that the expected approval of a spot ETF in the United States is generating among investors and the general public.
Recently, Grayscale CEO Michael Sonnenshein revealed that the asset management company is in positive talks with the U.S. Securities and Exchange Commission (SEC) to move forward with its plan to convert the Grayscale Bitcoin Trust (GBTC) into a Bitcoin spot ETF. While Sonnenshein clarified that the approval and launch timeline for this spot ETF has not yet been discussed, the news has had a bullish impact on the market.
It seems that, also, the positive results of several companies in the crypto world, for the third quarter (Q3) of this year and the proximity of the fourth halving of the network, are motivating the recent rise of the leading cryptocurrency.
Source: CoinMarketCap
According to data from CoinMarketCap, Bitcoin is trading at $36.943 at the time of writing, up 4,5% daily, 34,2% monthly, and 108% over the past year.
Bitcoin's market cap has also increased exponentially, surpassing $721.000 billion. With this market value, Bitcoin is the 11th largest company in the world, surpassing Tesla and Visa.
Source: CompaniesMarketCap
Why is the price of Bitcoin going up today?
Michaël van de Poppe, founder and CEO of MN Trading and Bitcoin enthusiast, said that the break of a new annual high for the leading cryptocurrency is a sign that The bullish cycle “is on its way”.
The analyst also noted that the bear market Bitcoin and cryptocurrencies are coming to an end and altcoins are also entering a bullish phase.
According to their analysis, Bitcoin's bear cycle took place between November 2021 and November 2022 (red), when the cryptocurrency traded at a yearly low of $15.800. Then, since November last year, when the Bitcoin price bottomed, there has been the year of accumulation (green), in which investors in general have been buying and accumulating BTC.
According to van de Poppe, we are now in the first phase of the bullish cycle (purple), which is characterised by a significant rise in the price of Bitcoin, but without it breaking its historical highs.
The awakening of altcoins begins
Regarding altcoins, van de Poppe said that most are also entering the first phase of a new bull cycle, in which we will see many of these cryptocurrencies “wake up” substantially.
Bitcoin is unlikely to break its all-time highs until the second year of the bull cycle, van de Poppe said. In the meantime, several altcoins may rise by 5-10x, he noted.
At the time of writing, altcoins BLUR, LINK, MATIC and NEO lead the Top 100 crypto market, with gains between 34% and 66% in the last 7 days.
Continue reading: Morgan Stanley report already sees signs of bull run in Bitcoin
IMPORTANT: The content of this article is for informational purposes only and, in no case, what is written here should be taken as investment advice or recommendations. Bit2Me News reminds you that before making any investment you should educate yourself and know where you invest your money, as well as the pros and cons of the system. We separate ourselves from the actions and consequences that ignorance may entail. If you decide to invest in this or another asset class, you are solely responsible for the consequences that your decisions and actions may have.
Note: This article has been updated to add Michael Sonnenshein's comments on Grayscale's Bitcoin spot ETF and to highlight Bitcoin's surge above $37.000.
