Bitcoin surges to a new record high as mainstream money flows into crypto

Bitcoin reached a new all-time high, surpassing its previous record. The surge comes after a lengthy period of decline that cast doubt on the future of the entire crypto ecosystem. The rally can be attributed to the US regulators’ approval of exchange-traded funds tied to bitcoin, allowing traditional investors to easily incorporate the digital currency into their portfolios. This development followed years of lobbying by crypto firms and a court ruling against the Securities and Exchange Commission. The endorsement of bitcoin ETFs led to significant net new flows. Bitcoin’s rise also highlights its role as a bellwether for the broader cryptocurrency industry. The rally has been fueled by anticipation surrounding the upcoming “halving” event, which will reduce the number of bitcoins entering circulation. As scarcity increases, the value of bitcoin is expected to rise further.