Bitcoin, the pioneer of digital assets, peaked at $63,441 on February 29, reigniting optimism among investors and sparking predictions of a potential new all-time high in the coming weeks, according to Nigel Green, CEO of deVere Group.

Green’s bullish outlook comes as Bitcoin inches closer to its previous record of approximately $69,000 set on November 10, 2021. The CEO attributes the recent momentum to the increased interest and involvement of institutional investors, notably through the introduction of Bitcoin Exchange-Traded Funds (ETFs).

“The approval and launch of spot Bitcoin ETFs, which track the price of the cryptocurrency directly rather than futures contracts, have provided institutional investors with a more accessible and regulated means of entering the crypto market, accelerating institutional adoption, and bringing more liquidity and stability to the market,” notes Green.

A significant development in this space is reported to be BlackRock’s Bitcoin ETF, which attracted $520 million in a single day, marking the second-largest inflow for any ETF. The approval of spot ETFs is considered a milestone in Bitcoin’s journey toward mainstream acceptance.

“As more institutional players enter the space, the increased demand for Bitcoin has been driving prices higher. The influx of institutional capital also adds a layer of stability to the market, potentially mitigating some of the volatility traditionally associated with cryptocurrencies,” explains Green.

The approaching Bitcoin halving event, expected in April, is identified as another factor contributing to the positive outlook. Bitcoin undergoes a halving approximately every four years, reducing the rate at which new coins are created. This decrease in supply historically correlates with significant price increases.

“As the issuance of new Bitcoin slows down, the existing scarcity of the digital asset becomes even more pronounced, typically leading to increased demand and, subsequently, higher prices,” Green notes.

In addition to institutional involvement and the anticipation surrounding the halving event, the surge in Bitcoin’s price is attributed to growing retail interest. Major companies accepting Bitcoin as a form of payment and traditional financial platforms integrating digital assets contribute to the broader acceptance of cryptocurrencies.