The price of the flagship digital asset Bitcoin hit the $41,000 market for the first time since April 2022, early recently, as the market continues to close the year with a bullish run.
According to Coinmarketcap Data, Bitcoin price, which has been hovering around the $40,000 level recently, finally surged from under $39,500 to strike above $41,000 recently, hitting a 19-month high.
This marks a new year-to-date high for Bitcoin price, which is now up 150% since the turn of the year. However, it is still down around 42% from its November 2021 all-time high of over $69,000.
Recall that the price of the world’s largest and oldest crypto fell below $40,000 in April 2022, signaling the start of the protracted bear market that the industry has endured. However, the market has been rallying in the last months due to the favorable comments and sentiments coming from the United States regarding the approval of a spot Bitcoin exchange-traded fund (ETF).
Addressing the signals, the recent increase in Bitcoin price reflects the bullish market sentiment fueled by the expected approval of ETFs and the prospect of regulatory advancements, as evidenced by Binance’s recent settlement with the US Department of Justice. Furthermore, the Bitcoin halving event, which occurs every four years, will return in April 2024, serving as another bullish indicator.
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What is the likely price of Bitcoin in December?
Analysts do not expect Bitcoin to lose steam in December as the year ends. According to James Edwards, a cryptocurrency analyst at Finder, there are already early indications that institutional investors are speculating on the ETFs’ approval, with inflows to existing Bitcoin futures ETFs increasing in recent days.
“At worst, I expect prices will remain flat while investors await confirmation either in charts or from an ETF approval.”
In addition, Crypto lawyer Joe Carlasare stated on X (Twitter) that there was “little chance” of a significant Bitcoin correction before ETF approval.
“Why would big sellers appear when we’re weeks away from likely approval?” Carlasare stated.
$60,000 when it comes to 2024?
The industry looks forward to a highly anticipated potential approval window between January 5 and 10, 2024. According to analysts, a mass spot Bitcoin ETF approval could be enough to refocus the mainstream on the cryptocurrency market.
With 13 bidders, including industry titans like Blackrock and Grayscale, the Securities and Exchange Commission (SEC) is expected to decide soon. Bloomberg’s ETF analysts predict that all pending bids will be approved simultaneously by January 10, ushering in not only a new era of institutional participation and investment in Bitcoin but also likely a price increase.
When compared to gold, Bitcoin analyst Willy Woo stated, “It’s very likely we are on the verge of a Bitcoin spot ETF.” SPDR Gold Trust was the first commodity ETF. It made it simple for investors to include gold in their portfolios. When it was first introduced, gold went on an eight-year rally, with no down years between 2005 and 2012.”
In addition, the iconic Bitcoin halving will be implemented by April 2023. Typically, the event is followed by a massive rally that paints an even brighter future. With these projections, Bitcoin is expected to be worth more than $60,000 by April next year and as much as $125,000 by the end of 2024.
