- Is a Bitcoin Rise Coming Before the Upcoming US Elections?
- BTC could rise to $70,000 by the end of October.
On October 14, Bitcoin [BTC] rose 5% to retest $66,000 as analysts linked the rebound to the upcoming US elections.
Quinn Thompson, founder of crypto hedge fund Lekker Capital, called the latest rally a “Trump punch“, citing the increasing likelihood of Trump winning the US elections.
But Kamala Harris’ recent pledge to support a cryptocurrency regulatory framework has some experts believing that the 2024 election could be a win-win for the sector.
American election factor
For its part, crypto trading firm QCP Capital believed the rally was part of historical trends in the run-up to the US elections.
“The timing leading up to the US elections reflects historical patterns. In both 2016 and 2020, #BTC rose just three weeks before #ElectionDay 2024.”
In 2016, BTC rose from $600 three weeks before the US election and doubled in January 2017. Similarly, BTC exploded from $11,000 before the 2020 election and reached $42,000 in January 2021.
Will the trend repeat in 2024? AMBCrypto asked Bitget Research’s lead analyst Ryan Lee what his thoughts were:
Lee said BTC has remained resilient despite the strengthening US dollar. This could mean a bullish phase for the asset in the medium term.
He predicted that BTC could remain in range or explode above $70,000 by the end of October.
“Crypto market volatility is likely to increase in the run-up to key events – the next Fed meeting in November and at the same time the US elections. BTC price fluctuations can range from $58,000 to $69,000.”
Source: CryptoQuant
That said, demand for BTC has increased over the past 30 days and has reached levels last seen in April. This was a complete turnaround from the low demand in the second and third quarters of 2024.
By the way, the recent BTC surge confirmed a higher low trend that could indicate a potential shift in market structure and an end to the reaccumulation phase since March.
Source: Stock Money Lizards
HHowever, noted analyst Peter Brandt believed that a shift in market structure could only occur if BTC rose above $68.2K.
At the time of writing, BTC was valued at $65.6K, about 12% below its ATH of $73.7K.
Source: Peter Brandt