- Bitcoin prices have surged past $37,000 this week, fueled by optimism that the SEC may approve a spot Bitcoin ETF. This price jump has led to a windfall for Bitcoin miners, whose revenues hit a 2022 high of $423 million on November 9.
- The revenue spike coincided with Bitcoin’s rising price, as investors grew hopeful the SEC would greenlight a Bitcoin ETF. The SEC faces deadlines on several ETF applications and could approve multiple at once.
- Sustained Bitcoin price gains above key levels would further confirm a change in market sentiment. For now, the mining boom continues as revenues set new highs for 2022.
Bitcoin is on a tear. The price of the flagship cryptocurrency has surged past $37,000 this week, fueled by optimism that the SEC may finally approve a spot Bitcoin exchange-traded fund (ETF). This price jump has led to a windfall for Bitcoin miners, whose revenues have hit a new 2022 high.
What’s Behind the Revenue Spike
According to data from Blockchain.com, Bitcoin mining revenue reached $423,865,140 on November 9, surpassing the previous 2022 high of $417,441,970 set on May 8.
This spike coincided with Bitcoin’s price climbing above $37,000, as investors grew increasingly hopeful that the SEC would greenlight a spot Bitcoin ETF. The SEC faces deadlines on several ETF applications, raising the possibility that multiple could be approved at once.
Bitcoin miners earn more when two factors align: a higher BTC price and increased network activity. Blockchain.com President Lane Kasselman told Decrypt that recent mining revenues are mostly thanks to Bitcoin’s rising value. Network congestion in May, caused by demand for Ordinals inscriptions, also boosted miner earnings despite lower prices.
The Long Wait for a Bitcoin ETF
The SEC has rejected every previous application for a Bitcoin ETF. These investment vehicles would allow exposure to Bitcoin prices without directly holding the asset.
Approval could be a huge milestone for mainstream acceptance. Reports that Grayscale is in talks with the SEC have bolstered hopes that a Bitcoin ETF could finally become a reality. A recent court order pushed the SEC to review Grayscale’s application.
Major players like BlackRock have now applied for Bitcoin ETF approval. Some analysts predict the SEC could approve an application as soon as 2023.
Bitcoin Keeps Climbing
The Bitcoin price currently sits above $37,200, up 7.5% over the past week.
Investor inflows into crypto products have now topped $1 billion in 2022, per CoinShares data. This suggests warming market conditions as Bitcoin regains momentum.
While some believe the crypto winter is thawing, sustained gains above key levels would further confirm a change in sentiment. For now, the Bitcoin mining boom rolls on as revenues keep setting new highs for 2022.