The crypto market is holding its breath ahead of the U.S. elections. After a solid previous week, Bitcoin's price has dropped, reflecting traders' and investors' uncertainty about the election results.
(Source: Ecoinometrics)
Late last week, large inflows into BlackRock's IBIT spot Bitcoin ETF occurred as the BTC price rose to $73,000. This move reflected shifting market sentiment around the election.
In recent days, however, Trump's perceived advantage has shrunk. Prediction markets, including Polymarket, suggest a closer race (if there's any signal at all): current odds show Trump at 56% and Harris at 44% at the time of writing.
As a result, bitcoin's price has fallen from last week's peak of $73,000 to below $68,000. Is this just short-term volatility, or is it business as usual in the long run?
Price is currently finding support at a high volume-by-price level (Source: Bitcoin & Markets)
Given the stark differences in Bitcoin views between Trump and Harris, the crypto market braces for turbulence during and after the U.S. election.
If Trump wins, it could propel Bitcoin to new all-time highs, possibly reaching $100,000. Trump's crypto-friendly stance and media coverage would likely drive more buyers into the market, resulting in a strong rally in the short term.
A Harris victory, on the other hand, will likely lead to a short-term drop in the BTC price.
Despite all the market jitters around elections, Bitcoin doesn't really care about politics. The big picture remains the same: government debt keeps growing, money printers keep running, and hidden inflation eats away at savings. These problems won't disappear after the votes are counted.
(Source)
Being a form of hard money in a soft fiat world, Bitcoin offers an escape. While politicians come and go, Bitcoin's core value proposition remains. The election noise will fade, but the macro trends driving Bitcoin adoption will not—debt, inflation, and monetary expansion march on, making the case for Bitcoin stronger every day.
"Measured from the halving, this cycle is still below previous cycles. However, the unusual pre-halving ATH has skewed this. A post-election rally could push Bitcoin back to mid-cycle averages, as shown below. I highlighted the next 100 days, which will be very important for this cycle. There is a possibility that the price hits $150k in that window," — Ansel Lindner.
Speaking of PolitiFi memecoins, so trendy this cycle, Trump-based memecoins could also thrive short-term after the election, no matter what—unlike other coins in this category.
Memecoins linked to Trump emerged from his social media influence and political movement. His viral moments and outsized personality created natural marketing for speculative tokens. The connection makes sense — Trump's brand of populism meshes well with crypto culture.
MetaTalks disclaims responsibility for any investment advice that may be contained in this article. All judgments expressed are solely the personal opinions of the author and the respondents. Any actions related to investing and trading in crypto markets involve the risk of losing funds. Based on the data provided, you make investment decisions in a balanced, responsible manner and at your own risk.