Bitcoin Surges Beyond $45,000 Mark, Hits 21-Month High

The momentum for cryptocurrency Bitcoin remains robust as it sustains its upward trajectory, surpassing the $45,000 mark and reaching a 21-month high on Tuesday. Recording a notable 6 percent surge, Bitcoin, the world's largest cryptocurrency, soared to $45,317.67, marking its highest point since April 2022.

Continuing its strong performance, Bitcoin maintained an upward trend, registering a modest gain of just under one percent on Wednesday. As of January 3, Bitcoin's rates stood at $45,257.70, comfortably above its 21-month high, reflecting a 0.70 percent increase from the cryptocurrency's closing price. This ongoing surge has triggered a broader upswing in the cryptocurrency market during the initial days of January.

In the Indian market, Bitcoin's value climbed to ₹37,66,766.47 on Wednesday, representing a ₹22,454 uptick following the sudden surge in prices.

The positive momentum in Bitcoin had a cascading effect on other tokens in the crypto market on January 2-3. Ethereum experienced a 3.8% surge, Solana (SOL) gained over 7%, and Cardano saw an increase of over 5%. Analysts anticipate that the cryptocurrency surge will persist throughout the week.

The driving force behind Bitcoin's price surge is the anticipation surrounding the potential approval of a spot bitcoin Exchange-Traded Fund (ETF) by the U.S. Securities and Exchange Commission (SEC). The decision on the Ark/21Shares ETF is expected to be finalized by January 10, with a possibility of an earlier announcement this week, possibly by Wednesday or Thursday.

Notably, the SEC has previously rejected several applications to launch spot bitcoin ETFs, citing concerns about the vulnerability of the cryptocurrency market to manipulation. The outcome of this decision will significantly impact the trajectory of Bitcoin and the broader crypto market in the coming weeks.

Historically, Bitcoin has exhibited a tendency to rally during the U.S. Election season, suggesting that the cryptocurrency markets will remain dynamic in the months ahead. However, the fate of crypto in the United States hinges primarily on the SEC's imminent decision. Stay tuned for updates as the crypto landscape evolves.