- As per some analysts, politifi tokens could compete with DOGE, SHIB.
- Crypto market volatility has increased in the wake of the U.S. election.
The crypto market is going through one of its most decisive moments in history, thanks to the upcoming U.S. elections. Out of the 9,375 investors surveyed by AMBCrypto, 80% believe that Bitcoin will turn the $80,000 level into its support if Donald Trump wins the presidency again.
The hope of a rally is quite justified if we look at Bitcoin’s reaction to Trump’s Saturday speech at the Bitcoin Conference 2024 in Nashville. For more than 45 days, BTC was struggling to touch $69,000. However, immediately after Trump’s promise of making the United States the “crypto capital of the planet,” BTC breached $69,000, albeit with a low trading volume.
Source: TradingView
Crypto+politics dominates social media
Meanwhile, as per AMBCrypto’s July 2024 report, currently, 25% of all posts on crypto X are, in some way or the other, discussing the impact of U.S. elections on the crypto sector, especially Bitcoin. Our exclusive survey found that 76.6% of investors think the Republican Party is more likely to support crypto-friendly policies.
In anticipation of the same, BTC HODLing has gained momentum once again – Exchange inflow volume has fallen significantly after 16 July. This underlined that taking profits at its press time price level could be risky.
Source: Glassnode
Julien Bittel, a cryptocurrency analyst at Global Macro Investor, is predicting an unprecedented surge in Bitcoin’s price. Citing historical data and the current “extremely compressed” Bollinger Bands indicator, he believes a potential price hike to $190,000 is incoming.
While a majority of analysts and on-chain indicators are in favor of a bull rally, addresses with a balance of more than 1k BTC have been declining.
This can be interpreted as a signal that big-pocketed investors are taking Trump’s crypto support with massive grains of salt. It can also be hypothesized that a majority of whales are skeptical about Trump winning the election. Hence, they are taking profits and reallocating their portfolio.
Source: Glassnode
While potential challenges may cloud Bitcoin’s short-term prospects, its long-term outlook remains positive. The market is currently anticipating a high likelihood that the Federal Reserve will not cut interest rates during its upcoming 30-31 July meeting. However, strong expectations for a rate reduction in September exist, with a possibility of a more significant cut.
Interestingly enough, the discourse around politics+crypto has seen Politifi tokens register massive gains of late. A case in point – HARRIS token, with a market capital of close to just $2.9 million – jumped by about 1350% in the last 7 days.
According to Andrew Kang, Founder of Mechanism Capital, politifi tokens could someday compete with popular coins like Dogecoin and Shiba Inu. AMBCrypto’s July 2024 report discusses this topic in detail to give useful insights to traders.
Dive into AMBCrypto’s July 2024 crypto market report
The report goes beyond Bitcoin, identifying the month’s top altcoin. It analyzes the DeFi ecosystem, investigates the DePIN winter, and examines the NFT market downturn. This exclusive report will answer six key questions –
- How could Trump’s possible re-election impact Bitcoin’s price, potentially propelling it to $80,000?
- What is the significance of Solana’s staking system attracting $61 billion and surpassing Ethereum?
- How did the GameFi sector outshine the memecoins?
- What challenges are projects like Helium and Akash Network facing?
- Why did NFT sales volume drop by 42.54%?
- What to expect from the crypto market in August?
You can download the full report here.
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