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Bitcoin advanced past $94,000 on Wednesday for the first time as traders continued to monitor President-elect Donald Trump’s transition back to the White House and weighed early options trading on bitcoin ETFs.
The price of the cryptocurrency was last higher by more than 1% at $94,461.75, according to Coin Metrics. Earlier, it traded as high as $94,686.79.
Coinbase shares rose 2% in premarket trading. Meanwhile, MicroStrategy jumped 8%. As of Tuesday’s close, the bitcoin proxy has jumped more than 26% this week.
Bitcoin has been regularly hitting fresh records since the election, though in smaller increments since the postelection rally faded last week, on hopes that Trump will usher in a crypto-friendly era for the industry that includes a more supportive regulation and a potential national strategic bitcoin reserve or stockpile.
Bitcoin continues its climb toward $95,000
Traders this week are keeping a close eye on Trump’s appointments for Treasury Secretary and the Securities and Exchange Commission chair.
“We’re still very much in a phase of kind of pricing in the Trump trade,” said Joel Kruger, market strategist at LMAX Group.
He also pointed to the “mainstream, institutional adoption that we’re getting by way of the approval of the bitcoin and ETH spot ETFs this year” and options trading on those ETFs going live beginning Tuesday, which he called “another reflection of the maturation of the crypto market.”
Options on BlackRock’s iShares Bitcoin Trust ETF (IBIT) began trading on the Nasdaq Tuesday. The Grayscale Bitcoin Trust (GBTC), the Grayscale Bitcoin Mini Trust (BTC) and the Bitwise Bitcoin ETF (BITB) are expected to have options available Wednesday.
Elsewhere, traders are looking forward to Nvidia earnings after the bell, which could impact bitcoin’s price. The cryptocurrency often benefits from moves in risk assets broadly, more so this year as institutional investors have become more comfortable with it thanks to bitcoin ETFs.