Bitcoin Passes $94,000 for the First Time as Trump Media Nears Bakkt Deal

The recent rally, which has seen Bitcoin add 37% to its value in just one month, could be longer lived as the cryptocurrency becomes less volatile.

Fresh off President-elect Donald Trump’s media company reportedly nearing a deal to buy a cryptocurrency trading platform, several Bitcoin ETFs began trading on the Nasdaq this week, offering investors a new way to gain exposure to Bitcoin without directly owning the cryptocurrency.

On Wednesday afternoon, the leading cryptocurrency reached an all-time high of $94,891, bringing its market capitalization to a record $1.87 trillion, according to CoinMarketCap.

The recent rally, which has seen Bitcoin add 37% to its value in just one month, could be longer lived as the cryptocurrency becomes less volatile. That’s in large part because of the rise of institutional traders getting in on Bitcoin in recent years, Bobby Zagotta, chief executive of Bitstamp U.S., told MarketWatch.

“The positions that institutions take are usually more research-based and may have a slightly longer time frame of reference,” he said.

Since his election win, Trump has also helped give the wider crypto market a boost. Investors have become increasingly optimistic that Trump’s return to the White House in January will bring legitimacy to the digital asset. On the campaign trail, Trump vowed to set up a national Bitcoin reserve and accepted donations in a range of cryptocurrencies, including Bitcoin, Ether, Dogecoin, and Solana.

In September, Trump launched a new cryptocurrency venture, World Liberty Financial, in partnership with longtime business associates. The venture is seen as a strategic step to capitalize on his growing influence in the digital asset industry.

And Trump’s involvement with the crypto industry could continue to deepen. The Financial Times, citing unnamed sources familiar with the matter, reported Tuesday that Trump Media — the company behind Trump’s social media platform Truth Social — is nearing a deal to acquire cryptocurrency trading platform Bakkt (ICE).

Based in Alpharetta, Georgia, Bakkt was established by Intercontinental Exchange, which holds a 55% ownership stake. ICE is also the parent company of the New York Stock Exchange. The company has a market cap of $398.74 million.

In its third-quarter earnings report earlier this month, Trump Media reported that it lost $19.2 million in the three months ended Sept. 30, with revenue falling 5.6% to just $1.01 million from a year earlier.

— Vinamrata Chaturvedi contributed to this article.

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