Bitcoin reached a significant milestone on Monday, climbing to its highest level in two years, exceeding $64,000 as a surge of investment pushed it towards record territory.
During the early Asian trading hours, it peaked at $64,285, marking its highest point since late 2021, and settled at $63,850, showing a 2% increase for the session.
Over the past month, the cryptocurrency has surged by more than 40%, closing in on its intraday high of $69,000 recorded in 2021.
The excitement surrounding Bitcoin’s ascent is fuelled by the recent approval of spot exchange-traded funds (ETFs) in the United States.
“Bitcoin’s recent rally…has been sparked by the spot ETF approval in the US, the upcoming Bitcoin Halving, and overall renewed optimism around the asset class,” said Bivu Das, Kraken’s UK MD.
“As we look ahead to the next year, its vital to remember first-principles when trading crypto. I always encourage people to do their own research into the crypto platforms and assets in the market. Particularly for anyone new the space, look for a platform that provide an experience that centres around simplicity, customer service, robust security, and strong liquidity.”
Additionally, anticipated changes in the mining process scheduled for the end of April have added to the fervour. The approval of spot Bitcoin ETFs earlier this year in the US attracted significant new investors and reignited enthusiasm reminiscent of the surge observed in 2021.
Standard Chartered, a leading multinational bank, has raised its Bitcoin price forecast to range between $100,000 and $120,000 by the end of 2024 in a recent research report. The bank cited increased profitability for Bitcoin miners and projected Bitcoin to reach $50,000 by the end of the current year.
Ether, another prominent cryptocurrency, has also experienced a surge in value, driven by speculation about the potential launch of exchange-traded funds. Although it reached $3,490 on Monday, just shy of its two-year highs from the previous week, it has seen a 50% increase year-to-date.
Cryptocurrency’s surge coincided with gains in Asian stock markets, particularly driven by Japan’s Nikkei index, which soared by 0.8% to surpass the historic 40,000 milestone for the first time, fuelled by a continuous five-week uptrend.