Bitcoin reaches all-time high of $94,000, driven by Trump’s crypto-friendly policies

In anticipation of a cryptocurrency-friendly government under the US upcoming Trump government, Bitcoin surged to a record high above $94,000 after it was reported that Donald Trump's social media company was in negotiations to purchase cryptocurrency trading platform Bakkt.

This year, Bitcoin, the largest and most well-known cryptocurrency in the world, has more than doubled in value.

Just before the close of the previous session, it reached a record high of $94,078 before closing at $92,104 in Asian hours on Nov 20.

According to sources, Trump Media and Technology Group, the company that runs Truth Social, is getting closer to an all-stock purchase of Bakkt, supported by NYSE-owner Intercontinental Exchange.

According to Tony Sycamore, a market analyst at IG, bitcoin's climb to a new high was aided by the Trump deal discussions story and traders taking advantage of the first day of Nasdaq options trading on BlackRock's Bitcoin ETF.

Since the U.S. election on Nov 5, traders have been betting that President-elect Trump's promised support for digital assets will result in a less stringent regulatory environment and give bitcoin a boost after a lagging few months. As a result, cryptocurrencies have surged in value.

According to analytics and data aggregator CoinGecko, the increased excitement has caused the value of the global cryptocurrency market to reach a record high of over $3 trillion.

There is genuine underlying purchasing demand for bitcoin, according to Chris Weston, head of research at Australian online broker Pepperstone, and "another kick higher should bring in a fresh chase from those who like to buy what's strong."