Bitcoin, the largest cryptocurrency in terms of market cap, has experienced a significant rebound, breaking the $42,000 mark on Dec. 4, its highest record since the intensifying fall in May 2022. Since the start of the year, Bitcoin has seen an unprecedented surge of over 130%, climbing from around $17K to soaring past $42,000.
Bitcoin advocate Max Keiser foresees a new high for BTC, with an optimistic case for Bitcoin to reach and surpass the $42,000 boundary before the year’s end. With the cryptocurrency crossing the $41K milestone for the first time since April 2022, BTC recorded a 4.9% rise in the last 24-hour frame to stand at $41,415.86 per coin at the close, according to CoinGecko.
The recent uptick is driven by potential approval of a spot Bitcoin Exchange-Traded Fund (ETF) and bullish remarks from Federal Reserve Chairman Jerome Powell, who affirmed the FOMC’s commitment to bring inflation down to 2% over time and maintain restrictive policy. This has invigorated investors to consider Bitcoin as an investment, with major Wall Street firms like BlackRock, VanEck, Franklin Templeton, and Fidelity, all ready to launch Bitcoin-based ETFs.
Max Keiser, senior Bitcoin advisor to El Salvador’s President Nayib Bukele, maintains a bullish stance, expecting Bitcoin to set a fresh historical high. In November 2021, BTC had reached its all-time high of $69,044 before dropping 65% amid a series of bankruptcies in the crypto industry and adverse macroeconomic circumstances.
Others like Mike Novogratz, Galaxy Digital CEO, have also predicted a potential spike in the BTC price to its previous November 2021 peak, once ETF authorization is obtained. They believe that this could result in billions flowing into the ETF sector within the first year of a Bitcoin ETF going live. The green light from SEC for a Bitcoin ETF is expected by Jan. 10, 2024, according to Bloomberg analysts, and could be a pivotal moment in the history of digital assets.