Bitcoin surges $44,000 for the first time since April 2022, driven by ETF optimism 

On Tuesday, Bitcoin continues its positive surge, breaking the $44,000 ceiling for the first time since April 2022, indicating its further upward momentum.

The cost of Bitcoin most recently increased by over 4% to $43,794.99, per Coin Metrics, effectively broadening its preceding day’s winnings, coinciding with the growing interest for a Bitcoin exchange-traded fund in the U.S. The cryptocurrency even hit the peak of $44,903.45 at a certain point – a level unseen since April 7, 2022.

Tuesday’s profit pushed Bitcoin’s annual increase to over 160%. Similarly, Ether also escalated by 1.6% for the day, settling at $2,263.76 and marking an 88% rise for 2023.

Over the past few weeks, Bitcoin has consistently been breaking its own record high. Over the last weekend, it breached the $40,000 mark for the first time since April 2022. The currency started November around the $34,000 benchmark and has been progressively hitting new highs for the year since then.

The rising optimism over the possible approval of a spot Bitcoin ETF in the U.S has been the primary driving force behind Bitcoin’s surge that started in the summer. Although initially, the momentum was slow, interactions between potential Bitcoin ETF issuers and the U.S. Securities and Exchange Commission, alongside the incorporation of their feedback on ETF applications, has further boosted investor’s positivity.

The general agreement suggests that a Bitcoin ETF will be given the go-ahead in early 2024. This conjecture is predicated on the deadlines set by the SEC for response, which are contingent upon the filing dates of the issuers’ applications.

Additionally, the recent settlement witnessed at the end of November between Binance and the U.S. Department of Justice is widely regarded as a significant obstacle overcome in the post-FTX cleanup of the cryptocurrency sector. Investors are also anticipating the Bitcoin ‘halving’ event, projected to occur in the spring of 2024.