As expected, the Bitcoin and crypto frenzy will happen a few hours after the election of Republican Donald Trump. Crypto has become an election issue, with Trump giving a more friendly policy tone than his opponent, Kamala Harris, who conceded Trump’s victory, yesterday. Bitcoin rose 8% during the first hours of trading, reaching $75,000, better than its March record. This is just the beginning of the Bitcoin price rise for many market analysts.
According to Ki Young Ju, CEO of CryptoQuant, the price of Bitcoin can still increase in the short term, up to 40%. Based on today’s Bitcoin price range, it is now part of the top 10 financial assets by market capitalization. However, Young Ju warns owners to face reality in the short term and recommends selling gradually as the “great pain” subsides.
Bitcoin hits a new ATH. Source: Bitstamp
Crypto Market Sees ‘Easier Time,’ Prepares for Price Rise
Now that election fever has settled, market analysts and observers are focusing on Bitcoin and the cyclical nature of crypto. According to Ki Young Ju, the behavior of BTC holders is often in line with the cyclical nature of the commodity. He shared that new owners often put up with price drops during the bear months, only to find that these assets change hands two years later and the “big pain” has subsided.
New investors tend to hold back $BTC through bear markets, bear losses.
After about two years, it changes hands when the pain subsides. That time is now.
It could go up +30-40% from here, but not like the +368% we saw from $16K. Time to consider selling a little at a time, not buying all, imo. pic.twitter.com/hXRT6YBsxS
— Ki Young Ju (@ki_young_ju) November 6, 2024
In a Twitter/X post, Ju added that “hands-changing and pain relief” for the property is now happening. From here, the CEO projects that the price will increase by 30 or even 40%. However, he warned owners that today’s market is different when BTC jumps by 368% and trades at $16k. For Ju, the best strategy is to sell assets slowly and never use a buy-all strategy.
BTCUSD trading at $78,077 on the daily chart: TradingView.com
Bitcoin Technicals Tell a Short-Term Bullish Story
Crypto owners and investors can use Bitcoin technical data for more information. Based on TradingView data, BTC price is approaching the upper Bollinger Band, indicating bullish momentum. But when these bands widen, owners and sellers can expect higher volatility.
Also, the Relative Strength Index (RSI) of the stock is 63, suggesting bullish momentum. Bitcoin’s RSI dropped to 56% three days before the US election, representing a balanced market. A neutral RSI score means that the price action is stable, with no major downswings, upswings, or consolidation periods. But two days after the election, it is now up to 63, indicating sentiment is present but not yet abated.
Staking Platforms Benefit From Good Price Action
In addition to owners and investors, staking platforms benefit from Bitcoin’s recent price action. For example, Solv Protocol, the leading BTC staking platform, has hit over $2 billion in Total Value Locked (TVL). DeFiLlama reports that approximately 30k Bitcoins have been deposited into the Solv Protocol, which is an increase from the 16,340 tokens recorded in mid-October. The increase in Solv Protocol activity across blockchains coincides with Bitcoin’s recent price action.
Among the products available on the Solv Protocol, SolvBTC is undoubtedly the most popular, locking up around 1.11 billion dollars. The increase in activity in the Solv Protocol highlights the growing importance of participating in high yield production in the face of volatile price action.
Featured image from DALL-E, chart from TradingView