On Friday, the price of Bitcoin for the first time in six months closes on its record high, as it traded for $60,000.
The increased confidence among traders that United States regulators would approve the launch of an exchange-traded fund (ETF) based on its futures contracts, has been attributed as the reason for the rise.
Investors believe that the launch of the ETF will accelerate the mainstream adoption of digital assets.
The priced crypto asset, Bitcoin, rose to its highest level since Apr. 17 and was last at $59,030. Since September 20, the coin has risen by more than 50 percent of its value and is now close to its all-time high of $64,895.
Bloomberg reported on Thursday that the United States Securities and Exchange Commission (SEC) is set to allow the first U.S. bitcoin futures ETF to begin trading next week.
Ben Caselin, head of research and strategy at AAX, an Asia-based cryptocurrency exchange, said Friday’s price movement were spurred, by a tweet from the SEC’s investor education office.
The tweet reads: “Before investing in a fund that holds Bitcoin futures contracts, make sure you carefully weigh the potential risks and benefits
Several fund managers, including the VanEck Bitcoin Trust, ProShares, Invesco, Valkyrie and Galaxy Digital Funds have applied to launch bitcoin ETFs in the United States as it has been done in Canada and Europe.