Bitcoin reaches new high - these are the reasons

At more than $31,000 (€27,779), the bitcoin price has reached its highest point of the year. Let's take a closer look at the reason behind it.

Since the evening of July 13, the Bitcoin (BTC) price is higher than at any time in 2023. The largest cryptocurrency by market capitalization crunches past its highest point of the year, benefiting from developments surrounding XRP and the company Ripple. This latest news, however, only gave the bitcoin price another boost in an already strong year.

At the time of writing, the price stands at US$31.368. Over the past 24 hours, the price has risen 2.2 percent. Over the entire week, the price is up 3.75 percent. Over the past month, the price has risen a whopping 21.1 percent.

Bitcoin price at peak - what happened?

As announced yesterday, U.S. crypto company Ripple has won its lawsuit against the U.S. Securities and Exchange Commission (SEC). An important signal for the entire crypto sector. Coins such as Ether (+7.75 percent), Cardano (ADA) (+25 percent) and Dogecoin (+9.3 percent) rose sharply in the aftermath.

So the 3.35 percent increase in the Bitcoin rate is still mild. However, Bitcoin interpret this as a positive sign. Nameliojk shows that Bitcoin is less 'impressed' is from legal disputes unlike altcoins.

ETF applications and positive signals

But the reasons for the rise are diverse. After all, Bitcoin's share price has been doing well all year. For example, the cryptocurrency has outperformed almost all other assets since the beginning of the year. With the prospect of halving in the coming year, there could still be room for improvement. In the past, the bitcoin rate has always risen sharply after a halving.

The cryptocurrency is getting even more back in the wind thanks to Bitcoin ETF applications from U.S. investment firms such as BlackRock. The latter recently filed a second application with the SEC after an earlier rejection. BlackRock CEO Larry Flink was quite bullish about BTC during the application.

Positive signals from Wall Street, which was rather negative about Bitcoin a few years ago. If the applications continue, which is becoming increasingly likely as time goes on, this would give the cryptocurrency a further boost in legitimacy. In turn, this could also lead to increasing interest from institutional investors to add BTC to their portfolios.