Once the SEC unveiled its intention to review the refusal of the Winklevoss Bitcoin Trust, Bitcoin started its upward movement.

Bitcoin has just set its new all-time high surging by more than 20 percent in April. The price reached its peak of  $1,331.24 today at 03:24 GMT while at the moment of writing it makes up $1,316, according to the CoinMarketCap.

There is an opinion in the Bitcoin community that the most possible reason for the current price boost is the decision of the SEC to review the refusal of the Winklevoss Bitcoin Trust announced just a couple of days ago. The announcement followed the application of CBOE Holdings’s Bats exchange to list the ETF and its appeal to the commission to reconsider the refusal.

The SEC listed regulatory uncertainty and the risk of fraud as the main reasons for the rejection.

“As discussed further below, the Commission is disapproving this proposed rule change because it does not find the proposal to be consistent with Section 6(b)(5) of the Exchange Act, which requires, among other things, that the rules of a national securities exchange be designed to prevent fraudulent and manipulative acts and practices and to protect investors and the public interest,” the SEC said in the statement.

“The Commission believes that, in order to meet this standard, an exchange that lists and trades shares of commodity-trust exchange-traded products (“ETPs”) must, in addition to other applicable requirements, satisfy two requirements that are dispositive in this matter. First, the exchange must have surveillance-sharing agreements with significant markets for trading the underlying commodity or derivatives on that commodity. And second, those markets must be regulated.”

The initial decision of the agency to reject the ETF at once had an impact on the Bitcoin price. Once the refusal was announced, the value of the cryptocurrency came down to as low as 980%, showing a 35% slump during the day. Afterwards, it easily recovered to more than $1100.

BKCM CEO Brian Kelly believes that the SEC will not approve the ETF anyway, but is bullish bitcoin nonetheless.

“The SEC is concerned about how most of the markets [for Bitcoin] has traded outside of the U.S. with no regulatory oversight,” he said. “As of this point, I don’t think the SEC would approve the ETF. What would change my mind is if the ETF or SEC only traded Bitcoin on regulated exchanges.”

Kelly, who has just launched a fund focused on investing in digital assets only, states that optimism for an upgrade to the Bitcoin software to fulfil transactions can be one more possible reason for the cryptocurrency price movement.

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