By
Steve Muchoki
April 23rd, 2024
Bitcoin keeps up the speed and has made gains in the new month – analysts says that the value can reach $3,500 level soon.
The first days of spring started very positive for Bitcoin. The most popular cryptocurrency didn’t only run out of steam but kept on making gains in the new month. As of the moment of writing, Bitcoin price makes up $1,219.
Now, it is hard to imagine that only two years ago, when Bitcoin seemed to stop at $250 level, some experts expressed confidence that it would never recover and come close to $1,000 again. But we observed a steady growth during the last year with price making up approximately $425 at the beginning of the year, $584 six months ago, $736 three months ago and $885 one month ago.
At the beginning of 2017, Bitcoin settled on the $1,000 and above level with a few notable hurdles occurred due to the regulatory changes in a major bitcoin trading market performed by the People’s Bank of China.
As leading bitcoin exchanges in the country, Huobi and OKCoin, had to hold up withdrawals and other checks to appease the regulator, bitcoin traders started looking for ways out apparently flocking to peer-to-peer marketplaces to continue buying and selling the cryptocurrency. As a result, peer-to-peer Bitcoin hub LocalBitcoins set a new global all-time high across its platform.
Representatives of the People’s Republic of China and Chinese bitcoin exchanges held a meeting to discuss compliance and explore ways in which the latter can comply with the country’s regulations and form a regulatory partnership.
Finally, the actions of the People’s Bank of China only led to Bitcoin strengthening.
Experts agree that Bitcoin price growth might be connected with the speculations over the possible approval of the Winklevoss Bitcoin ETF by the Securities and Exchange Commission. If approved, it will be the first Bitcoin ETF in a U.S. market and average investors will be able to take a stake in the digital currency much easier.
In general, investors expect if the SEC will approve at least one of the three proposed bitcoin exchange-traded funds. In this regard, they are contradicting analysts who speculate low odds of a bitcoin ETF gaining approval by the SEC. However, analysts predict that on the eve of the SEC approving a bitcoin ETF Bitcoin price to tripe from their current value to reach above $3500.
“I think we need to take into heavy consideration the general conservativeness of the SEC”, said Spencer Bogart, Wall Street analyst with investment institution Needham & Co, who assesses the likelihood of the SEC’s approval at 25% or less.