Bitcoin surges to $71,000 level today; what's driving the rally?

livemint.com:

Bitcoin (BTC) soared above $71,000 early Tuesday, reaching its highest level since early April, while Ether jumped more than 19% to $3,700. This surge followed Bloomberg analysts increasing the likelihood of a spot ETH exchange-traded fund (ETF) being approved in the U.S. to 75%.

According to the latest data from SoSoValue, as quoted by The Economic Times, Bitcoin ETFs saw total net inflows surpassing $241 million on May 20. Notably, BlackRock’s Bitcoin ETF, IBIT, drew in over $66 million in net inflows, while Fidelity’s Bitcoin ETF, FBTC, registered net inflows of $64 million.

Also read: SEBI recommends regulators to oversee crypto trade, RBI still sees ‘macro risk’

“The crypto market is surging as investors react to a torrent of good news. ETH has skyrocketed 19% in 24 hours to surpass $3,700, while Bitcoin has crossed $71,000, up nearly 8%. The catalyst for this surge appears to be the ETF approval, with chatter suggesting the SEC could be doing a 180 on this increasingly polarizing issue," said Rajagopal Menon, VP, WazirX.

The global cryptocurrency market cap jumped by 7.9% to approximately $2.61 trillion in the past 24 hours.

Other major cryptocurrencies also saw significant gains: BNB (5.1%), Solana (3.5%), XRP (5.7%), Dogecoin (8.6%), Toncoin (5%), Shiba Inu (6.8%), Avalanche (14%), and Cardano (7.8%).

Markets began to rally late Monday after Bloomberg analysts Eric Balchunas and James Seyffart increased the likelihood of a spot ether ETF from around 20% to 75%. Subsequently, CoinDesk reported that the U.S. Securities and Exchange Commission (SEC) requested that exchanges seeking to list ether exchange-traded funds update their 19b-4 filings ahead of an important deadline this week.

This happened as SEC asked