Jason Pizzino, a cryptocurrency analyst, recently shared his insights on X regarding how the upcoming U.S. elections might impact financial markets, including Bitcoin. He observed that the political race is closer than expected, making it unlikely for Donald Trump to secure a clear victory. This level of uncertainty could lead to increased market volatility in the aftermath of the elections. With the election day approaching, there is a growing concern among investors, particularly as many anticipate that Kamala Harris may have the upper hand over Trump. Pizzino provided various scenarios and potential market reactions to the election outcomes.
Should Harris win the presidency, Pizzino predicts an initial decline in the markets, but this dip may be short-lived as investors recognize the potential influx of stimulus funds, possibly leading to a rebound. Conversely, if Trump is victorious, a significant rally in the markets is likely, followed by sustained upward movement.
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Pizzino also noted that his current analysis suggests no major shifts in the market cycle. He highlighted a phase he has termed the “Winner’s Curse” within an 18-year cycle, indicating that this period usually brings about heightened volatility and creates trading opportunities as the market adjusts to the political landscape.
As for Bitcoin, it is currently trying to recover from a recent drop that took its price down to approximately $67,500 after starting a decline from $72,500. Currently trading below $70,500 and the 100-hourly simple moving average, Bitcoin has shown signs of potential recovery. A recent breakout above the bearish trend line at $68,300 could indicate bullish movement, with the cryptocurrency aiming for resistance around $70,000. Success in maintaining this level could lead to gains towards $71,200 and possibly $72,500. However, if Bitcoin fails to surpass the $70,000 mark, it may face another decline, with immediate support at $68,000 and critical levels around $67,500 and $67,200.
