Bitcoin Hits Record High Above $94,000 as Trump Media and Technology Group Discusses Bakkt Acquisition

This surge follows reports that U.S. President-elect Donald Trump's social media company is in talks to buy crypto trading firm Bakkt

Bitcoin price hit a record high of over $94,000 for the first time ever on Monday, amid reports that U.S. President-elect Donald Trump's social media company is in talks to acquire crypto trading firm Bakkt, according to a Reuters report on November 20.

The news comes as crypto traders are keeping a close eye on Trump's administration, with hopes that his second term in office will bring about a crypto-friendly regime.

As reported by The Financial Times, Trump Media and Technology Group, which operates Truth Social, is discussing an all-stock acquisition of Bakkt.

The crypto trading firm is, in turn, backed by Intercontinental Exchange, which owns the New York Stock Exchange (NYSE).

According to Tony Sycamore, a market analyst at IG, Bitcoin's record high is being supported by the news of the Trump deal.

Furthermore, traders are also reacting to the launch of Bitcoin options trading on Nasdaq, which is linked to BlackRock's Bitcoin exchange-traded fund (ETF). Bitcoin has already more than doubled in value over the course of 2024.

On Friday, the crypto hit $94,078 just before the close of the previous session, though it later dropped to $92,104 in Asia on Sunday, November 20.

Edul Patel, Co-founder and CEO of Mudrex, also highlighted the launch of BlackRock's Bitcoin ETF as a key factor in driving up the price of Bitcoin.

In his words, “BlackRock's ETF saw $1.9 billion in trading volume on its first day, which helped boost Bitcoin. However, after reaching a peak, Bitcoin dropped back to $92,000 as traders sold off for profit.”

Patel went on to note that rising tensions between Ukraine and Russia are also making investors more cautious. "Bitcoin now faces resistance at $94,600, with support at $90,400,” he added.

Ever since Trump's victory in the 2024 U.S. presidential election, cryptocurrencies have been rallying.

According to CoinGecko, traders are hoping for looser regulations, which has helped push the total crypto market cap to a record $3.2 trillion.

Meanwhile, Chris Weston, head of research at Australian online broker Pepperstone, noted that there is a lot of buying pressure for Bitcoin.

"Another move higher should attract fresh buying from those who like to buy into strength,” he added.