Bitcoin is nearing its all-time high and the US regulator contemplates opening the market

The price of bitcoin rose above $ 60,000 for the first time since April and is nearing its all-time high, as the securities regulator USA is studying the possibility of authorizing index funds (ETFs) linked to the cryptocurrency, which could boost demand.

The price of bitcoin has soared 40% in a month ($ 60,126 at around 2:15 PM GMT, according to data compiled by Bloomberg).

Buyers hope that this new financial product will allow more traditional financial players to participate in the market.

Since 2013, the US Securities and Exchange Commission (SEC) has consistently rejected multiple applications to create these publicly traded funds that replicate the price of bitcoin.

But the regulator could approve the launch of these products next week, according to Bloomberg, which cites sources close to the matter.

On its Twitter account, the SEC wrote Thursday night: “Before investing in a fund that has futures contracts on bitcoin, make sure you have weighed the risks and rewards,” a message seen by crypto enthusiasts. as a sign that the funds will be accepted soon.

“Key moment”

“This is a key moment for cryptocurrencies,” said Walid Koudmani, an analyst at XTB.

“In the long term, this is important news as it indicates that the authorities are accepting the idea of ​​people owning crypto assets,” said Charlie Erith, head of cryptocurrency manager ByteTree Asset Management.

Regulators remain ambivalent about a decentralized and dematerialized sector, created from scratch by anonymous people 13 years ago.

In China, for example, the authorities have completely banned bitcoin exchange platforms. And the authorities in Europe and the United States are not much more enthusiastic about it.

The SEC has on several occasions rated the sector of cryptocurrencies Like the “Old West”, and across the Atlantic, Bank of England (BoE) Deputy Governor Jon Cunliffe has said there is an “urgent need” to work on international regulation.

Although the British institution does not see at the moment a greater risk that a cryptocurrency crisis spreads to the rest of the market, it noted that, with a size of more than US $ 2.3 trillion, the market is now larger than the mortgage market high risk or “subprime” in 2008 (US $ 1.2 trillion), whose collapse caused a global financial crisis.