Monday saw the price of Bitcoin reach its highest level in more than a year, and shares of BlackRock surged in response to news that its application for a spot Bitcoin ETF had been resubmitted. According to CoinGecko, the leading coin by market capitalization is now worth $31,250, representing an increase of 2.4% for the day. This is the highest price Bitcoin has seen since June of last year.
In the past year, Bitcoin’s price has risen by 62%. Despite crises such as the collapse of the cryptocurrency exchange FTX or the historic failure of many regional banks, this is still the case. Last June was one of the worst months for Bitcoin since 2011, with the average monthly income dropping to just $19,000, down from around $30,000. Inflation in the US is at its highest level in four decades, and unemployment is at 9.1%. The Federal Reserve raised interest rates to the highest level in 28 years.
Experts say that BlackRock’s plan to establish America’s first spot Bitcoin ETFs is seen as a mark of institutional acceptance for crypto. This would not only strengthen Bitcoin’s reputation as an emerging asset, but it would also make it easier for institutions to gain exposure to Bitcoin.
The price of Ethereum is currently $1,969, an increase of 2.9% from the previous day. This is not the highest price Ethereum has seen in the past year, as it briefly reached $2,100 in April. However, the number of people using the internet has risen by over 85% in the past 12 months.
Both Bitcoin and Ethereum are still 55% and 57% below their respective all-time highs, of $69,000 and $4,900 respectively, which were set in November 2021. According to CoinGecko’s tracking, the total crypto-market capitalization has increased from $911 Billion a year ago to $1.25 Trillion today. Altcoins now make up more than 65% of the total crypto-market, and have grown in popularity in the face of increased enforcement actions by the Securities and Exchange Commission.