Spot Bitcoin ETF buzz carries top cryptocurrency closer to $31,000

Bitcoin rallied early on Monday, reaching its highest level since mid-July as speculation persists over the approval of a spot Bitcoin ETF in the U.S.

The top cryptocurrency reached a high of $30,928 before retreating, and was trading around $30,600, still up 2.2%, as of publication. The coin now makes up 49.6% of the overall crypto market, according to CoinGecko.

Over the past seven days, Bitcoin has increased 9.8%—its biggest weekly gain since June—which increases the likelihood of a 10% average jump over the coming month based on historical data, according to Bloomberg.

The rally comes as traders begin banking on the possibility that the Securities and Exchange Commission will approve a spot Bitcoin ETF by the end of the year. Although the agency has yet to approve such a product in the U.S., TradFi heavy hitters like BlackRock and Fidelity have filed applications to create one.

In August, the SEC faced a setback in trying to fend off the Bitcoin-based financial product, which gives investors actual exposure to the coin’s price movements. An appeals court ruled that the agency’s denial of crypto asset manager Grayscale’s Bitcoin ETF application was “arbitrary and capricious.” Earlier this month, the regulator dropped its intention to appeal the ruling, according to multiple reports.

The introduction of a spot Bitcoin ETF in the U.S. is likely to precipitate an influx of capital in the crypto markets, and could push Bitcoin’s price to new heights. Already, a rumor—which proved to be false—that BlackRock’s spot Bitcoin ETF application had been approved pushed the cryptocurrency up thousands of dollars.

Analysts at JPMorgan predict that a spot Bitcoin ETF could be approved by Jan. 10. But as traders wait for the Bitcoin investment product to be approved, some have already been throwing cash into existing institutional investment products, with $55.3 million being invested last week in products related to Bitcoin, according to a report by CoinShares.

Some Bitcoin believers’ bets have already paid off. Michael Saylor’s MicroStrategy’s Bitcoin holdings, which thanks to a recent purchase stood at an average purchase price of $29,582, have brought in about $160 million due to the recent price surge.

This story was originally featured on Fortune.com