Bitcoin continues its impressive rally, having risen by 2.62% in the last 24 hours, reaching a new all-time high of $71,415 on March 11, just 36 days before the much anticipated Bitcoin halving event.
The crypto market gets a huge boost from the crypto pioneer – Bitcoin – which has surged about 10% during the past week and 48% during the past month, according to CoinMarketCap data. BTC market cap is now over $1.4T.
The new over-weekend surge brought Bitcoin an all-time high of $71,415, while other cryptocurrencies experienced a significant rise as well. Thus, the second-largest crypto – Ether – breached the $4,000 mark for the first time since 2021.
One of the reasons for the massive bull rally is the upcoming Bitcoin halving scheduled on April 20, which will make mining rewards reduced from 6.25 BTC ($418,800) to 3.125 BTC ($209,400).
Pre-halving periods are typically characterised by the crypto market growth. Meanwhile, the crypto miners are actively preparing for decreased profitability. It is estimated that sustainable miners who operate based on energy-efficient models are more likely to keep operations profitable during that time.
Other factors contributing to the crypto market advancement are increasing institutional adoption and the emerging class of crypto-related investment products available on traditional stock exchanges.
For example, an investment memo sent out to investors by Bitwise chief investment officer Matt Hougan revealed that the firm was involved in “serious due diligence” discussions with large corporations, major wirehouses and institutional consultants over the ways to increase their exposure to Bitcoin through spot Bitcoin ETFs in the coming months.
Moreover, the London Stock Exchange (LSE) today confirmed that it would accept applications for bitcoin (BTC) and ether (ETH) exchange-traded notes (ETNs) in the second quarter of this year.
Since the Financial Conduct Authority (FCA) updated its position on crypto ETNs and will now not object to requests from Recognised Investment Exchanges (RIEs) to create a UK-listed market segment for crypto asset-backed Exchange Traded Notes (cETNs), LSE encourages early engagement from prospective issuers interested in admitting crypto ETNs to trading on the Exchange.
Crypto ETNs are debt securities which provide exposure to an underlying crypto asset by tracking the performance of such asset, e.g. Bitcoin or Ether.
