Bitcoin Breaks $71,000 Barrier Amid Election Speculation Frenzy

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As a seasoned crypto investor with a decade of experience under my belt, I’ve seen enough market fluctuations to know that predicting Bitcoin’s price movements can be like trying to catch a greased pig in a storm. However, Tuesday’s surge past $71,000 has me feeling a bit more bullish than usual.

On Tuesday morning, Bitcoin surpassed $71,000, paving the way for other significant cryptocurrencies to follow suit as they entered a positive market trend, just a week before the US elections. As reported by CoinGecko, Bitcoin reached a high of $71,075 after experiencing a drop the previous week due to speculation about an upcoming investigation into Tether and ongoing tensions in the Middle East.

According to experts and observers, the recent surge in Bitcoin’s value may be due to an increase in investments into Bitcoin ETFs and enthusiasm surrounding the upcoming US presidential elections, which seem favorable for the cryptocurrency industry. Although Bitcoin has experienced some volatile price changes recently, it is currently being propelled by a positive outlook.

Bullish Run Ahead For Bitcoin?

Over the past seven days, Bitcoin holders and the market experienced a challenging phase. The cryptocurrency dropped beneath $66,000, only to swiftly recover and stabilize between $67,000 and $68,000 over the weekend.

Subsequently, Bitcoin reached a high of $71,075, marking its strongest showing in the previous four months. As reported by CoinGecko, the recent Bitcoin price surge on Tuesday was fueled by approximately $51 billion in trading activity, more than twice the volume recorded on the preceding day.

Bitcoin Breaks $71,000 Barrier Amid Election Speculation Frenzy

According to experienced trader Peter Brandt, the recent price movement of Bitcoin suggests a new bullish period following the halving event. In a tweet, he pointed out that Bitcoin has finished its “upside-down expanding triangle” pattern, and the subsequent development is crucial. Brandt added that this could be the post-halving surge for Bitcoin.

Trades From BTC Whales And Inflows Into ETFs Boost The Market

The recent increase in Bitcoin’s price is thought to be due to a rise in transactions from major Bitcoin investors (known as “whales”) and an influx of investments into Bitcoin ETFs. As per CryptoQuant’s Mignolet, it seems that the whales on Binance have been actively buying Bitcoin during the Asian trading hours, which could explain this recent market activity.

Bitcoin Breaks $71,000 Barrier Amid Election Speculation Frenzy

Additionally, the surge in Bitcoin ETF trading has led to a notable increase in overall trading activity. Over the past fortnight, these funds have accumulated approximately 47,000 Bitcoins collectively. Beyond Bitcoin, other significant cryptocurrencies experienced a rise as well. For instance, Dogecoin saw a 15% growth due to heightened interest from Trump supporters. Similarly, Shiba Inu (SHIB) climbed by 8%, Ether (ETH) rose by 4.9%, and Cardano‘s ADA gained approximately 3%.

Bitcoin Breaks $71,000 Barrier Amid Election Speculation Frenzy

Bigger Highs Next?

For seasoned traders, Tuesday’s significant surge indicates a potential trend leading up to the U.S. elections in November. Cryptocurrency enthusiasts and traders anticipate that Bitcoin may continue to rise or reach even greater heights, irrespective of the election results for the presidency.

Supporters of trading believe that Donald Trump is likely to win the elections, which they see as a positive sign for Bitcoin due to his pro-cryptocurrency stance. Moreover, Elon Musk, a strong advocate for Bitcoin and blockchain technology, supports Trump. In contrast, the Democrats have not yet outlined clear policies regarding cryptocurrencies but are expected to introduce regulations in the industry.

Financial analysts often share their views and forecasts prior to U.S. elections, such as those at Standard Chartered who believe Bitcoin could reach $73,000 by November 5th. If Trump is re-elected, these analysts predict that the price of Bitcoin might soar to $80,000 or even as high as $125,000 before year’s end, particularly if the Republicans also win control of Congress.

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2024-10-29 18:12