Bitcoin has soared to a remarkable new all-time high, nearing the $72,000 mark on Monday, propelled by a confluence of factors including increased accessibility, a weakening US dollar, and anticipation surrounding an industry event poised to tighten Bitcoin’s supply.

Last week witnessed Bitcoin shattering records, surpassing $68,991 and eclipsing its previous high set in November 2021. The UK’s Financial Conduct Authority (FCA) further bolstered market sentiment by greenlighting the creation of crypto-related securities, providing a notable boost to Bitcoin’s value.

In a significant move, US regulators have also approved exchange-traded funds (ETFs) linked to Bitcoin’s spot price, streamlining the integration of Bitcoin into mainstream investment portfolios and underscoring the growing interest in cryptocurrencies among institutional investors.

Adding to the bullish sentiment is the anticipation surrounding the upcoming “halving” event, wherein the reward for Bitcoin miners will be halved. This event is widely expected to tighten Bitcoin’s supply, contributing to its recent surge in value.

Analysts, buoyed by Bitcoin’s upward trajectory, including Fiona Cincotta from City Index, foresee the cryptocurrency potentially reaching the $100,000 milestone. However, they caution investors about Bitcoin’s inherent volatility, which could lead to rapid fluctuations in its price trajectory.

Amidst the optimism surrounding Bitcoin’s surge, market participants remain vigilant, mindful of the cryptocurrency’s unpredictable nature and the need for prudent risk management strategies in navigating its market dynamics.