📰 BTC had just seemed to find a floor, but election uncertainty is weighing on it again: How much longer will the fifth week of losses last?
Just a couple of days ago, it looked like Bitcoin could hold steady around $77,000. Then the clouds of the US midterm elections rolled in again. This directly affects investors who like chasing high-risk assets: they now dare not buy either cryptocurrencies or tech stocks (Apple’s warning about memory chips was the trigger). Bitcoin has spent a fifth week swinging back and forth in the $76,500–$87,000 range, and now the election outlook has become another hurdle.
Why does this news matter?
The US midterm election results have a huge impact on global capital flows. But this time, unlike in the past, investors are realizing that even tech stocks aren’t safe among risk assets (Apple’s profit forecasts have fallen 14%). Bitcoin’s fifth weekly losing candle has broken through the psychological $85,000 support level. Why? Because people are realizing that they now have to guard not only against geopolitical and regulatory risks, but also supply-chain risks. If even a giant like Apple is warning about a cost crisis, just imagine the challenges for smaller crypto projects.
Market impact
In the short term, as long as the election results remain unknown, Bitcoin will most likely continue trading in the $76,000–$78,000 range. But uncertainty around the election could make that range even narrower. Historically, Bitcoin has shown similar behavior during US midterm elections: it fell 9% during election week in 2020 and 12% in 2018. What’s different this time is that expectations of further Fed rate hikes persist (the current 30-year US Treasury yield is 5.216%). This means that even if the election outlook clears up, risk assets may have little momentum to rebound.
Trading strategy
Bitcoin will most likely remain under pressure while the election outlook is uncertain. The key level to watch is the round-number mark of $75,000; a break below it could trigger heavier selling. But this view assumes that market sentiment remains bearish. If the election produces a better-than-expected outcome (for example, a decisive Democratic victory accompanied by a pledge to ease regulations), the losing streak could suddenly reverse.
$BTC $ETH #BTC #ETH
⚠️ This is not investment advice. Predictions are for reference only.
#USMidtermElections
$BNB
Just a couple of days ago, it looked like Bitcoin could hold steady around $77,000. Then the clouds of the US midterm elections rolled in again. This directly affects investors who like chasing high-risk assets: they now dare not buy either cryptocurrencies or tech stocks (Apple’s warning about memory chips was the trigger). Bitcoin has spent a fifth week swinging back and forth in the $76,500–$87,000 range, and now the election outlook has become another hurdle.
Why does this news matter?
The US midterm election results have a huge impact on global capital flows. But this time, unlike in the past, investors are realizing that even tech stocks aren’t safe among risk assets (Apple’s profit forecasts have fallen 14%). Bitcoin’s fifth weekly losing candle has broken through the psychological $85,000 support level. Why? Because people are realizing that they now have to guard not only against geopolitical and regulatory risks, but also supply-chain risks. If even a giant like Apple is warning about a cost crisis, just imagine the challenges for smaller crypto projects.
Market impact
In the short term, as long as the election results remain unknown, Bitcoin will most likely continue trading in the $76,000–$78,000 range. But uncertainty around the election could make that range even narrower. Historically, Bitcoin has shown similar behavior during US midterm elections: it fell 9% during election week in 2020 and 12% in 2018. What’s different this time is that expectations of further Fed rate hikes persist (the current 30-year US Treasury yield is 5.216%). This means that even if the election outlook clears up, risk assets may have little momentum to rebound.
Trading strategy
Bitcoin will most likely remain under pressure while the election outlook is uncertain. The key level to watch is the round-number mark of $75,000; a break below it could trigger heavier selling. But this view assumes that market sentiment remains bearish. If the election produces a better-than-expected outcome (for example, a decisive Democratic victory accompanied by a pledge to ease regulations), the losing streak could suddenly reverse.
$BTC $ETH #BTC #ETH
⚠️ This is not investment advice. Predictions are for reference only.
#USMidtermElections
$BNB
