Since the beginning of the year, Bitcoin has risen in price by 49.2%, showing the best dynamics among key assets. According to NYDIG, a number of drivers could extend the upward dynamics in Q4.

NYDIG: Bitcoin remains the best-performing asset so far this year with a year-to-date gain of 49.2%. The upcoming US election on Nov. 5 will play a big part in market performance for Q4, and expects larger gains if Trump wins. Q4 is traditionally a bullish period for BTC and there are a number of catalysts that could see history rhyme.

At the end of the third quarter, the cryptocurrency market received support from global monetary easing and the announcement of stimulus by the Chinese authorities.

Experts are convinced that digital gold is now in line with the position it was in during the last two cycles.

"While investors may be disappointed by the range-bound trading over the past six months, rest assured that compared to previous phases, Bitcoin is exactly where it was at this time in the previous two," the analysts noted.

Current State of Bitcoin Market Cycle. Data: NYDIG

October-December is traditionally a bullish period for the asset, and there are a number of factors that will allow “history to rhyme,” experts said.

Among them is the upcoming US elections on November 5. A victory for Republican candidate Donald Trump will lead to significant growth, according to experts.

“While both candidates would improve their stance on cryptocurrencies compared to a Joe Biden administration, Trump would provide the asset class with more significant gains if he wins, given his broad-based endorsement of the industry,” the report said.

Experts noted the increased correlation of digital gold with the US stock market. In the third quarter, the price relationship on a 90-day period reached 0.46.

“The level is still low, which means that Bitcoin offers significant diversification benefits for multi-asset portfolios,” the analysts said.

Bitcoin Correlation with Other Asset Classes. Data: NYDIG

Let us recall that on the night of October 7, the rate of the first cryptocurrency approached the $64,000 mark. The drivers were positive data on the US labor market last Friday and expectations of a reduction in the Fed's key rate in November.

Earlier, Canaccord noted that a Bitcoin rally is inevitable.

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