For the first time in almost two years, the price of Bitcoin (BTC) has surpassed $45,000 as the market gets ready for the widely anticipated approval of a spot Bitcoin exchange-traded fund (ETF).

According to CoinMarketCap data, the price of Bitcoin shot up quickly from $42,000 on January 1st, rising more than 6% in the previous day and 170% in the previous year.

Just two days into 2024, Bitcoin is trading at a higher price than it did in 2023, marking a notable high for the asset.

The market is preparing for the SEC to possibly approve one or more of the 14 pending applications for a spot Bitcoin ETF product, which is currently awaiting a decision from the regulator. This is why Bitcoin's price performance has occurred.

According to Melkor, Bitcoin might surge as high as $54,000 in the days that follow the SEC's possible approval.

The early stages of a spot Bitcoin ETF, according to VanEck advisor Gabor Gurbacs, will be viewed as a "letdown" by larger market norms. But in the end, over the next few years, the products will draw inflows valued at trillions of dollars.

Sources:

https://cointelegraph.com/news/bitcoin-btc-price-breaks-above-45k-excitement-over-etf-approval

https://coinmarketcap.com/currencies/bitcoin/

https://twitter.com/scottmelker/status/1741982887853830360