So the price of bitcoin went above $50,000 on Monday for the first time since 2021. This shows how interest in bitcoin has really grown since major investment firms started offering bitcoin funds earlier this year.

Bitcoin has gained almost 15% just this year alone. A big reason for this is that the SEC finally approved some exchange traded funds that allow direct exposure to bitcoin. Many big names on Wall Street like BlackRock are now offering these bitcoin ETFs.

Even though many were expecting the ETFs to boost bitcoin's price when they launched, it actually dropped around 15% right after. But now it seems the ETFs are bringing new money into the market. Bitcoin has more than doubled from a year ago and is looking stronger long term.

One analyst said now we're seeing steady flows into the newer ETFs, showing more organic demand for bitcoin. Data shows the ETFs have pulled in around $3 billion in net flows. Asset managers are more focused now on the long term investment case for these products.

As crypto becomes more mainstream on Wall Street, the issuers believe investors will slowly start allocating a small portion of their portfolios to bitcoin ETFs alongside traditional stocks and bonds. One firm said they advise clients to just start with 1% of their equity in bitcoin to get used to it.

There's also optimism that central banks will cut interest rates, making risky assets more appealing. In April, an update to slow new bitcoin creation could also support further gains. However, some analysts aren't as sure bitcoin can maintain its momentum given how unpredictable the ecosystem is.