The Bitcoin rate was rapidly rising, exceeding $69,000 - the highest level that the coin had reached since the end of 2021. After reaching a new high, the price of Bitcoin was corrected - the rate immediately dropped to $62,000. The path to the highest point was difficult, given the low values of BTC for most of 2023 due to the market recovery after the collapse of FTX. At some point, the price even dropped to $19,628.
The exchange rate gradually recovered, and this was facilitated by a number of factors. At the time of writing, the total market capitalization of BTC has reached $1.3 billion.
What factors have played a role in the current price increase? And what trends will continue to influence Bitcoin's capitalization in the coming future?
The emergence of spot Bitcoin ETFs has revived the situation
With the launch of spot BTC ETFs, institutional investors have gained easier access to the cryptocurrency market, leading to an influx of new capital. Increased demand for Bitcoin has driven its price higher as investors view it as a valuable asset for diversifying their portfolios and as a hedge against inflation.
