Key Bitcoin BTC/USD indicators suggest the apex crypto could be on the verge of a significant rally as a veteran analyst downplays the influence of the presidential election on Bitcoin’s trajectory.
What Happened: Bitcoin could be set for another rally, according to crypto analyst Caleb Franzen, who observed a sharp shift in a momentum indicator used by traders to gauge buy and sell signals.
This shift from oversold to overbought territory over a 16-week period has previously led to Bitcoin price gains of 52% and 113%, suggesting bullish potential if history repeats.
The crypto king has gained 2.6% over the past 24 hours, trading above $69,500 at the time of writing.
Also Read: Bitcoin Spikes Above $68,000: These Macro Indicators Are Key To New All-Time Highs
Why It Matters: Pseudonymous crypto analyst DonAlt, in a recent podcast update, noted that while elections may introduce short-term volatility, they are unlikely to drive long-term crypto market fundamentals. He sees both technical factors and broader geopolitical events as more pivotal.
He cautioned against overestimating the long-term impact on the crypto market and emphasized Bitcoin's bullish weekly trend to continue if prices hold above $62,000.
The trader also disclosed that he had recently closed his Bitcoin long position, which he had opened more than two months ago in anticipation of a potential pre-election rally. Still, he remains cautiously optimistic, citing personal reasons for his decision to sell.
What’s Next: The influence of Bitcoin as an institutional asset class is expected to be thoroughly explored at Benzinga’s upcoming Future of Digital Assets event on Nov. 19.
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