Analysts and historical chart patterns suggest Bitcoin is headed for a post-election breakout, but the most immediate hurdle is trading above $70,200.
Analyst Says Bitcoin Is Poised for a Post-Election Breakout
Bitcoin (BTC) price is likely to rebound after the 2024 US presidential election.
Bitcoin Trader Mr. According to a chart shared by Anderson in an
Bitcoin/USD, 1-week chart, post-election rally. Source: Mr. Anderson/X
Other analysts expect post-election volatility to push Bitcoin to new all-time highs. In particular, Bitfinex analysts predict that Bitcoin will rise to $80,000 by the end of 2024, driven by the options market structure and the prospect of a Republican presidential election victory.
Analysts told Cointelegraph:
“Options Market Positioning shows that open interest in year-end options has increased significantly over the past few weeks. A call option with a December 27 expiration date and strike price of $80,000 was the primary area of interest.”
Daily BTC trading volume during the US election period. Source: Standard Chartered Research, Bitfinex
Other analysts say Bitcoin is being used as a proxy for a potential Trump victory and that the current “Trump hedge” rally lacks the fundamental macroeconomic conditions that could push BTC to record highs.
relevant: Bitcoin’s Fair Value: BTC Will Never Fall Below $60,000, Economist Says.
Bitcoin’s pending price rally hinges on conquering $70,200.
According to popular analyst Titan of Crypto, who wrote in a November 5
“Bitcoin key level: $70,200. After breaking Tenkan, the price is often retested, and currently Tenkan is at $70,200. BTC needs to recover from this level to regain bullish momentum.”
Bitcoin Ichimoku analysis, 1-day chart. Source: Crypto Titan
In Ichimoku or cloud analysis, the Tenkan line represents the main transformation line for the underlying asset. If Bitcoin stays above the Tenkan line, it is likely to show more upward momentum according to the indicator.
According to renowned cryptocurrency analyst Rekt Capital, other analysts see $69,000 as a key price level that should turn into support before a breakout. The analyst wrote in an X post on November 5:
“Bitcoin will need to convert $69,000 into new support to confirm a breakout of this Bull Flag.”
BTC/USD, 1-week chart, bull flag. Source: Rect Capital
On October 28, Bitcoin surpassed the psychological resistance of $70,000 for the first time since June 10, while the BTC price remained only 3.77% below its all-time high of around $73,800.
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This article does not contain investment advice or recommendations. All investment and trading activities involve risk and readers should conduct their own research when making any decisions.