The price of Bitcoin gained over 6% on Wednesday to move through $60,000, hitting its highest level since late 2021. The popular cryptocurrency has been on a tear this year, gaining around 36%.

Momentum has increased following regulatory approval by the SEC (securities and exchange commission) in January for Bitcoin ETFs which has led the cryptocurrency to be viewed as a mainstream asset.

Reflecting increased demand BlackRock’s Bitcoin ETF reportedly took in $250 million yesterday (27 Feb), the second highest daily inflow for any ETF. Increasing institutional demand has been a factor in the rising price of Bitcoin.

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HALVING EVENT COULD SPUR NEW HIGHS

Chief executive of deVere Group Nigel Green believes the latest move could take bitcoin to new highs, surpassing the $69,000 peak seen in November 2021.

Green commented: ‘If the current momentum continues, we expect that Bitcoin could beat the previous all-time high in a matter of weeks.

‘Bitcoin undergoes a halving approximately every four years, reducing the rate at which new coins are created by half.

‘The supply of new Bitcoin entering the market decreases, creating a potential supply shock that historically has correlated with significant price increases.’

‘Nothing is for sure, of course, and cryptocurrencies remain highly speculative, but the enormous interest in spot ETFs and the upcoming halving event - which only happens every four years - can be expected to continue to fuel the current momentum which could lead Bitcoin to surpass the $69,000 mark.’

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