Bitcoin prices have doubled this year and potentially new ways to invest may drive prices higher

abcnews.go.com:

Bitcoin is having another moment

NEW YORK — NEW YORK (AP) — Bitcoin is having another moment. The world's largest cryptocurrency soared to almost $35,000 this week, marking its highest point in nearly 18 months — and more than double the price seen at the start of 2023.

The cryptocurrency rocketed from just over $5,000 each during the start of the pandemic to nearly $68,000 in November 2021, according to FactSet, during an era of massive tech growth. Prices came back down to earth during an aggressive series of rate hikes from the Federal Reserve as it battled inflation, and then the collapse of one of the biggest companies in crypto, FTX.

When 2023 began, a single bitcoin could be had for less than $17,000 after losing more than 75% of its value. Investors, however, began returning in large numbers this year as inflation started to cool. And the collapse of prominent tech-focused banks actually led more investors to turn to crypto as they bailed out of positions in Silicon Valley start-ups and other more risky bets.

Now, bitcoin is getting another boost on the prospects of creating a much larger pool of investors. Industry advocates say a new way to invest in bitcoin at spot prices, instead of futures, could make it easier for anyone to enter the cryptoverse while lowering some of the well-documented risks associated with investing in cryptocurrencies.

There's rising optimism about the possibility of bitcoin exchange-traded funds — a pooled investment security that can be bought and sold like stocks — potentially being launched.

A green light from federal regulators hasn't arrived yet, but recent wins for some crypto fund managers with applications for bitcoin spot ETFs have improved odds for approval, perhaps in the