Tue October 8, 2024 â–ª
4
min reading â–ª acc
Bitcoin has once again faced resistance around $64,000 in recent days, an important level as investors eye the US election date in November. Uncertainty reigns a month before this crucial date, and market swings reflect this tension.
Bitcoin Faces Pre-Election Market Resistance
Bitcoin peaked at $64,000 when European markets opened this Monday, October 7, 2024, before encountering resistance that slowed its gains. In the last hours, according to data from CoinGecko, the price of the crypto has stabilized around $62,200. The market seems to be waiting for the US election in November before going in a clear direction.
The prospect of a U.S. presidential election pitting former President Donald Trump against Vice President Kamala Harris is drawing attention from investors who expect different impacts on cryptocurrencies depending on the outcome of the vote, although the consensus appears to be leaning in favor of a victory for crypto-supporting Republicans. with both camps expressing rather positive attitudes towards these assets.
If betting on the Polymarket platform currently slightly favors Harris with 51% of the vote against Trump, it is clear that the outcome of this election is far from decided and the effects on the crypto market remain uncertain.
Economic factors and their influence on Bitcoin’s bullish momentum
In parallel with the presidential election, other macroeconomic factors play a key role in the current development of the Bitcoin price. In fact, one of the reasons for the rise in cryptocurrencies is related to the US jobs report. Last week, the Bureau of Labor Statistics reported that 254,000 jobs were created in September, well above economists’ expectations. The news helped ease fears of an impending economic slowdown. So the release of the data sent the price of bitcoin soaring by more than 3% on Friday, reaching a peak of more than $62,300.
Investors see these numbers as a catalyst for an upcoming resistance test between $65,000 and $67,000. Indeed, Bitcoin could break this ceiling if upcoming inflation reports such as the Consumer Price Index and Producer Price Index continue to show signs of economic stabilization. Moreover, any hint of 2% inflation in the United States could have a favorable impact on the market.
In the short-term, Bitcoin’s trajectory will largely depend on the results of the US presidential election and key economic indicators. While uncertainty prevails for now, investors agree that the medium-term outlook for bitcoin remains bullish, with prices poised to shoot up if macroeconomic and political catalysts materialize. However, the volatility of the crypto market calls for caution.
Maximize your Cointribune experience with our “Read and Earn” program! Earn points for every article you read and get access to exclusive rewards. Register now and start reaping the benefits.
A graduate of Sciences Po Toulouse and holder of the blockchain consultant certification issued by Alyra, I joined the Cointribune adventure in 2019. Convinced of the potential of blockchain to transform many sectors of the economy, I made a commitment to raise awareness and inform the general public about this ever-evolving ecosystem. My goal is to enable everyone to better understand blockchain and take advantage of the opportunities it offers. Every day I try to provide an objective analysis of current events, decipher market trends, convey the latest technological innovations and put into perspective the economic and social problems of this ongoing revolution.
DISCLAIMER OF LIABILITY
The comments and opinions expressed in this article are solely those of the author and should not be considered investment advice. Before making any investment decision, do your own research.
