The cryptocurrency market reached a new milestone this week as Bitcoin price surged to an all-time high of more than US$94,000. This happened amidst reports that the Trump media company, the Trump Media and Technology Group, was looking to acquire crypto trading firm Bakkt.
The talks of the deal sparked optimism that a second administration by the former president might provide a crypto-friendly environment. Investors hope that this would potentially spur further growth in digital assets. Bitcoin saw a surge of more than double in 2024. The crypto hit US$94,078 before slightly dipping to US$92,104 in early trading on November 20, 2024.
The Bitcoin surge was also attributed to the launch of the Bitcoin ETF by BlackRock. Bitcoin ETFs saw record trading volumes of US$1.9 billion on the first day, according to Edul Patel, CEO of Mudrex. Profit-taking has brought Bitcoin back to around US$92,000. The market analysts are closely watching for resistance at US$94,600 and support at US$90,400.
The total value of the cryptocurrency market has grown to more than US$3 trillion for the first time. Coinciding with Trump's win in the 2024 US Presidential Election, the speculation is that his presidency would welcome lax crypto regulations.
As the cryptocurrency market continues to swell, traders remain optimistic. Analysts note an increase in buying pressure with expectations of Bitcoin to reach even higher levels. Bakkt Deal talks have further added fuel to the rally of Bitcoin. Thus, hinting at further potential gains in the coming months.