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Spot Bitcoin ETF Buzz Pushes Top Cryptocurrency Towards $31,000

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“The growing excitement around the potential approval of a Spot Bitcoin ETF is driving the top cryptocurrency towards new heights, with prices inching closer to the remarkable $31,000 mark.”

Bitcoin reached its highest level since mid-July on Monday, fueling speculation about the approval of a spot Bitcoin ETF in the U.S. The cryptocurrency reached a high of $30,928 before retreating, and was trading around $30,600, up 2.2% at the time of publication. Bitcoin currently accounts for 49.6% of the overall crypto market, according to CoinGecko.

Over the past week, Bitcoin has seen a 9.8% increase, marking its biggest weekly gain since June. Based on historical data, Bloomberg suggests that there is a higher likelihood of a 10% average jump in the coming month.

Traders are becoming increasingly optimistic about the approval of a spot Bitcoin ETF by the Securities and Exchange Commission (SEC) by the end of the year. While the agency has not yet approved such a product in the U.S., major traditional finance players like BlackRock and Fidelity have filed applications to create one.

In August, the SEC faced a setback when an appeals court ruled that their denial of Grayscale’s Bitcoin ETF application was “arbitrary and capricious.” The regulator subsequently dropped its intention to appeal the ruling. The introduction of a spot Bitcoin ETF in the U.S. is expected to attract a significant influx of capital into the crypto markets and potentially drive Bitcoin’s price to new highs.

JPMorgan analysts predict that a spot Bitcoin ETF could be approved by January 10. In the meantime, some traders have already been investing in existing institutional investment products related to Bitcoin. According to a report by CoinShares, $55.3 million was invested last week in such products.

Some Bitcoin holders have already benefited from the recent price surge. MicroStrategy’s Bitcoin holdings, with an average purchase price of $29,582, have brought in approximately $160 million. As the anticipation for a spot Bitcoin ETF approval continues, investors are closely following developments in the crypto market.

To learn more about cryptocurrencies, Fortune offers a Crypto Crash Course with short, easy-to-read lesson cards.

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