Bitcoin(BTC) has been experiencing a significant uptick in its market dominance, following a two-year bearish trend and the onset of a ‘crypto winter’ last year. The digital currency, often referred to as ‘digital gold’, has exhibited resilience with a 71% price increase since the start of 2023. As of Sunday, amid a bull run, Bitcoin is trading around $30,000 and its share in the crypto market capitalization has risen from 38% at the beginning of the year to 48.85% as of October 21, 2023.
The surge in Bitcoin’s price and market share can be attributed to several factors. Amid global economic uncertainties, inflation, and geopolitical tensions, investors are increasingly viewing Bitcoin as a safe haven for crypto investment. This perception has been bolstered by a 10% gain over the past week, influenced by news surrounding Bitcoin exchange-traded funds (ETFs).
One particular event that contributed to Bitcoin’s growth was a false report about the approval of BlackRock (NYSE:BLK) spot Bitcoin ETF. This misinformation led to an 8% rise in Bitcoin’s price, contributing to a 49% weekly rise since 2021. The price jumped from $27,883 to $30,000 in less than half an hour following the report.
The potential approval of spot Bitcoin ETFs by the US Securities and Exchange Commission (SEC) is anticipated to revolutionize the BTC market. This could bridge the traditional finance system with the digital world and enable real-time price analysis. Experts predict that this bullish trend could push Bitcoin’s price beyond $40,000 by 2024.
Despite other cryptocurrencies also seeing gains, Bitcoin’s growth has outpaced them all. The digital asset has demonstrated stability and is forecasted to continue its upward trend. As the digital space awaits further developments regarding ETF approval, it’s possible for Bitcoin’s price to exceed $45,000 by 2024.
