Summary: The approval of spot bitcoin exchange traded funds (ETFs) by the US Securities and Exchange Commission (SEC) one year ago was a significant moment for Bitcoin in 2024. These ETFs, particularly BlackRock's $IBIT, became the best-performing ETFs in history, attracting over $52 billion in inflows. The approval of ETFs marked the beginning of a new bull market for Bitcoin, as other asset managers rushed to apply for ETFs. The increase in Bitcoin's price with the backing of large asset managers led to increased interest and adoption of the cryptocurrency. It also influenced former US President Donald Trump to embrace Bitcoin. The support from asset managers and a pro-Bitcoin administration gave the green light for companies like MicroStrategy to invest heavily in Bitcoin. The combination of increased demand, regulatory certainty, and the halving event (reducing new Bitcoin production) drove the price to a new all-time high. The success of ETFs and the change in presidential administration reduced the influence of anti-Bitcoin regulators and politicians, setting up Bitcoin for further growth in the United States. Overall, the approval of ETFs played a crucial role in Bitcoin's success in 2024.



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