Bitcoin surged to a new all-time high Thursday, capping a run of more than 20 percent in April, as investors bet that an ETF based on the digital currency was back on the table.
Bitcoin rose as much as 3 percent to a record high of of $1,331.31, according to the CoinDesk Bitcoin Price Index. The previous high was $1,325.81, reached on March 10 just before the SEC (Securities and Exchange Commission) rejected a bitcoin exchange-traded fund application, which sent the digital currency reeling.
The SEC said on Monday it is reviewing its decision to reject the Winklevoss Bitcoin Trust.
BKCM CEO Brian Kelly doesn’t see the SEC ultimately approving the ETF (Exchange-Traded Funds), but is bullish bitcoin nonetheless.
“The SEC is concerned about how most of the markets [for Bitcoin] has traded outside of the U.S. with no regulatory oversight,” Kelly said. “As of this point, I don’t think the SEC would approve the ETF. What would change my mind is if the ETF or SEC only traded Bitcoin on regulated exchanges.”
Kelly, who has just opened a fund focused solely on investing in digital assets, said another reason for the price move this month is optimism for an upgrade to the Bitcoin software to handle transactions.
The digital currency, which was $1,079.75 at the end of March, is up 23 percent in April through Thursday. By comparison, gold futures were most recently at around 1,266 an ounce on Thursday, up 1 percent for the month.