Airdrop Army

Election Buzz Sets Bitcoin up for a Rollercoaster

With Americans casting their votes, Bitcoin sits at a subdued $69,000, waiting for a spark. The market’s on edge; Bitfinex analysts say this cautious calm might break as soon as election results trickle in. Traders, they claim, are itching for action but wary of the unknown. So far, the coin’s volatility is low, but an uptick could give Bitcoin a shot in the arm, potentially boosting its price trajectory.

Bitfinex’s crew cautions that if volatility remains weak, something bigger might be brewing under the surface. Low market movement on the options side, they explain, may show a gloomier sentiment than the typical put-buying spree. Without a hefty volatility boost, Bitcoin might face a bumpy correction.

Trump Pump or Just the Price Spike People Crave?

Some think Bitcoin’s recent price moves, dubbed a “Trump pump,” tie directly to former President Trump’s election odds. As a loud pro-crypto voice, Trump’s comeback could put Bitcoin back in the limelight. Analysts believe a Trump win might set the stage for Bitcoin’s next leg up, sparking investor optimism and market excitement.

Still, other pros, like those over at Sygnum, suggest the rally could keep chugging, regardless of who wins. They see Bitcoin on an upward track as long as the U.S. government follows through with crypto-friendly policies come January. A Trump presidency might only amplify the pump, feeding off market sentiment already wired for a bullish run.

Just before the election, Bitcoin flirted with an all-time high, peaking at $73,600 on Oct. 29. But Bitfinex warns that Bitcoin’s “Trump trade” phase may end with the election, shifting focus from speculation to real moves in Washington.

Altcoins See Slim Odds for a Rally as Traders Show Little Interest

Altcoins, on the other hand, seem to be in for rougher weather. While Bitcoin holds onto some optimism, Bitfinex analysts report waning interest in altcoins, particularly those beyond the top 10 coins. Traders’ enthusiasm for higher-risk altcoins is dipping, making a post-election rally look unlikely.

Though some hope for an “altcoin season,” analysts argue that returns might look much smaller compared to past cycles. Without a major shake-up, Bitfinex thinks any altcoin gains will struggle to keep up with Bitcoin as market momentum stays sluggish.