Bitcoin's price has climbed to its highest level in 18 months, nearing $37,000 as excitement builds around the SEC's upcoming decision on spot crypto ETFs.

The SEC faces a deadline this week to approve or deny filings from Grayscale and others to convert existing crypto funds into ETFs. Reports of talks between Grayscale and regulators boosted optimism of an imminent approval.

The potential regulatory milestone coincided with Bitcoin posting gains over 30% in the past month. Other major cryptocurrencies like Ether also saw prices rally over 20% recently.

A wave of short liquidations further fueled Bitcoin's rise, creating a short squeeze as prices forced bearish traders to abruptly exit positions. The confluence of factors drove Bitcoin's dramatic surge past resistance levels.

While some profit-taking slowed its ascent, bullish momentum overall continues propelling the cryptocurrency market to new recovery highs.

The prospect of easier mainstream access to crypto via SEC-approved ETFs has the industry anticipating an influx of new capital. With prices rebounding past $30,000, data affirms long-term holders are still steadily accumulating.

If the SEC gives the green light this week, it would validate Bitcoin's maturation. For now, the looming decision has the market betting big on crypto's next regulatory breakthrough.