Close US Election Could Be the Catalyst for Crypto Market Momentum, Analyst Predicts

What Close US Election Results Mean for the Crypto Market’s Path Forward?

One analyst cautions that a close contest between the presidential contenders could potentially cause some surprise volatility, even if many cryptocurrency traders are attempting to predict the market’s direction based on the results of the next US election. After the cryptocurrency market has been directionless since April, traders will be happy when the US election concludes because it will clear the path for the markets, according to David Lawant, head of research at FalconX.

Additional volatility, however, could emerge if results are too close to call and it takes too much time to reach an outcome. After six months of directionless trading, markets appear eager to move past election uncertainty toward firmer ground,

Lawant

Trump Victory Could Spark Crypto Surge, Bitcoin and Solana in Focus, Analysts Say

Although investors are hoping for positive outcomes regardless of the party that wins the US election on November 5, Lawant stressed that some think a Donald Trump victory could result in larger benefits because of his more definite pro-industry pledges. Pav Hundal, the lead analyst of Swyftx, recently stated that a Trump win would probably result in a dopamine surge. Regardless of the result, options traders seem certain that Bitcoin will surpass its previous peak within weeks of the election. According to Lawant, Solana also sticks out in discussions as a possible outperformer, in addition to Bitcoin.

BTC, serving as crypto’s proxy, could further benefit from ETF flows—2024’s primary source of new capital. SOL’s strong narrative positions it as a likely destination for profit diversification.

Lawant

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