Bitcoin (BTC) is having a moment again. The world’s largest cryptocurrency is enjoying a 150% surge this year as its price surpassed $44,000 on Wednesday, the first time this has happened in over 18 months.
The rise is indicative of the cryptocurrency’s continued rise, which is supported by a number of elements such as a drop in interest rates and rising expectations over the possible approval of a Bitcoin spot exchange-traded fund (ETF). In the USA.
Spot ETFs: Democratizing Bitcoin Investment with Lower Risks
Industry advocates say this new way of investing in bitcoin at spot prices, rather than futures prices, could make it easier for everyone to enter the cryptoverse, while reducing some of the well-known risks that come with it.
Regulators are likely to approve the first bitcoin spot ETF application next month, although some crypto fund managers have recently won cases that increase the chances of that happening.
“I think what the ETF really means is that Bitcoin is going mainstream and that's what people have been waiting for,” Ledger CEO Pascal Gauthier said recently.
The fact that Bitcoin has recovered above the crucial price level highlights how resilient its bullish momentum is, attracting interest from both experienced investors and the broader cryptocurrency community.
How high can the BTC price go?
As news sources and financial analysts have caught wind of Bitcoin’s latest breakout above the psychologically critical threshold of $44,000, it is clear that the market is currently biased to the upside.
Bloomberg made a bold prediction about the largest cryptocurrency in terms of market capitalization when it came onto the scene. The news site claims that Bitcoin’s rise above $42,000 marks the beginning of a new “crypto supercycle” rather than just a passing spike.
According to this optimistic prediction, Bitcoin will reach values above a staggering $500,000 and become the cornerstone of a revolutionary new monetary paradigm that is already gaining support on Wall Street.
This prediction, which is in line with the growing sentiment among cryptocurrency fans, signals a paradigm shift in mainstream financial markets as Bitcoin continues to redefine the global economic landscape and establish its dominance.
Bitcoin’s clear path: $48,000-$53,000 upside sweet spot: analyst
Based on technical price levels, especially the highs set in March 2022 and September 2021, Joel Kruger, market strategist at LMAX Group, believes that Bitcoin’s upward price dynamics have a clear path towards the region between $48,000 and $53,000.
Between these two levels, Kruger has identified a sweet spot where the path to the March 2022 high is remarkably free of major opposition.
“There is a good zone between these two levels, with very little significant resistance between the current price and the March 2022 high.”
According to market data, at the time of writing, the price of Bitcoin was $44,020, up 5.5% from the previous day and up 16% over the past week, according to data from Coingecko .
As market dynamics unfold, all eyes are on Bitcoin, wondering if it will continue its bull run and aim for the next major milestone of $45,000.