The world’s largest cryptocurrency Bitcoin has reached $60,000 for the first time in six months on Friday, nearing its record high.

Traders grew confident that US regulators would approve launching an exchange-traded fund (ETF) based on its futures contracts. Investors have been waiting for approval of the first US ETF for Bitcoin, whose recent rally is being fueled in part by expectation of such a move, which is seen as accelerating the mainstream adoption of digital assets.

Bitcoin surged 4.5 per cent to its highest level since April 17, and was last at $59,290. It has risen by more than half since September 20 and closing in on its record high of $64,895 hit in April.

The US Securities and Exchange Commission (SEC) is likely to allow the first US Bitcoin futures ETF to begin trading next week, Bloomberg News reported on Thursday.

“It is widely anticipated that Q4 will see vital progress around a Bitcoin ETF in the US,” said Ben Caselin, head of research and strategy at Asia-based cryptocurrency exchange AAX.

Friday’s moves were spurred, he said, by a tweet from the SEC’s investor education office.

“ETFs open up a raft of avenues for people to gain exposure, and there will be a swift move to these structures,” said Charles Hayter, chief executive of data company CryptoCompare, which tracks ETF products.

“It reduces the frictions for investors to gain exposure and gives traditional funds room to use the asset for diversification purposes.”

Several fund managers, consisting the VanEck Bitcoin Trust, ProShares, Invesco, Valkyrie and Galaxy Digital Funds have applied to launch Bitcoin ETFs in the United States. Crypto ETFs have been launched this year in Canada and Europe