The recent surge has been driven by the net inflows trend of Bitcoin spot exchange-traded funds (ETFs), propelling the digital currency nearly 40% higher in February, marking its highest monthly gain since December 2020.
Bitcoin recently rose 6% to $60,850, its highest level since December 2021. Traders poured investment into bitcoin ahead of the Bitcoin Halving 2024 event in April, speculated to potentially push the cryptocurrency to $100,000. Additionally, prospects of the Federal Reserve deploying a series of interest rate cuts this year have prompted investors to seek higher-yielding or more volatile assets.
Global market strategist Ben Laidler at eToro investment platform stated that Bitcoin is being propelled by stable capital inflows into new Bitcoin spot ETFs and prospects of the Halving 2024 event as well as the Fed’s interest rate cuts in June.
For the first time in two years, the total value of all circulating Bitcoins has reached $2 trillion this month, according to cryptocurrency platform CoinGecko, while the Bitcoin token index has doubled in just four months.
