Bitcoin exceeds $ 60,000

Bitcoin topped $ 60,000 for the first time in six months on Friday, nearing its all-time high as hopes grew that U.S. regulators would allow a futures-based exchange-traded fund (ETF), a move that is likely would open the way for wider investments in digital assets.

Cryptocurrency investors have been waiting for the approval of the first U.S. exchange-traded fund for Bitcoin, with bets on such a move fueling the recent rally.

The world's largest cryptocurrency rose to $ 61,869.05, its highest level since mid-April, and was most recently 6.9% higher at $ 61,346. It has risen by more than half since September 20, and is approaching its record high of $ 64,895 reached in April.

As reported by Bloomberg News on Thursday, the US Securities and Exchange Commission will allow the first US Bitcoin futures ETF to start trading next week. Such a move would open up a new avenue for investors to get into the emerging asset, according to traders and analysts.

"Crypto ETFs are inevitable. A product like this will eventually come to fruition as there is a demand for it," said Chris Kline, chief operating officer and co-founder of Bitcoin IRA.

"It seems clear that regulators will soon approve some version of a crypto ETF, most likely by Monday," added Kline. "As regulators become more familiar with this area, the SEC is beginning to understand how these assets are stored, secured, and reconciled so that it makes sense in the traditional financial world."

Friday's bitcoin movements were spurred on by a Twitter (NYSE: TWTR) post from the SEC's Investor Education Bureau asking investors to weigh the risks and benefits of investing in funds holding bitcoin futures, Ben Caselin of said the Asia-based crypto exchange AAX.

Several fund managers, including the VanEck Bitcoin Trust, ProShares, Invesco, Valkyrie and Galaxy Digital Funds, have filed for Bitcoin ETFs to be launched in the United States.

The Nasdaq approved the approval of the Valkyrie Bitcoin Strategy ETF on Friday.

After months of back and forth between the SEC and potential Bitcoin futures ETF issuers, the regulator appears poised to give the green light to a handful of applications that will open the door to wider access to cryptocurrencies for retail and institutional investors alike.

Under the rules used by ETF issuers, the SEC does not have to explicitly approve ETFs. They can be launched after a period of 75 days unless the US regulator objects.

The 75-day period for the ProShares Bitcoin Strategy ETF ends on Monday, and the ETF can be launched on Tuesday.

The SEC declined to comment.

Crypto ETFs launched in Canada and Europe earlier this year and are growing in popularity with growing interest in digital assets.

Derivatives exchange operator Cboe Global Markets (NYSE: CBOE) Inc. filed with the SEC for a rule change that would allow it to list certain complex ETFs. The SEC approved this request on October 1.

SEC chairman Gary Gensler previously said that the crypto market includes many tokens that may be unregistered securities and that leave prices open to tampering and exposing millions of investors to risk.

Citing people familiar with the matter, the Bloomberg report said that ProShares and Invesco's proposals, based on futures contracts, were tabled under mutual fund rules, which Gensler said offer "significant investor protection."

"It's one of the last frontiers to access mandates," said Joseph Edwards, head of research at crypto broker Enigma Securities. "In particular, many Americans have terms and conditions how to invest a large part of their wealth. It enables Bitcoin to participate in the kind of fortunes that make US stocks as consistently strong as they are."