Bitcoin Price Eyes 10% Move Amid U.S. Election Uncertainty

Currently, Bitcoin is trading at $68,682, down 0.5% over the last 24 hours. Bitcoin’s volatility index also hit a three-month high on November 3, reflecting the market’s heightened sensitivity to election-related news.

Analysts Set Key Levels for Bitcoin’s Future Direction

Tony Sycamore, an analyst from IG Markets, emphasized that Bitcoin’s future direction hinges on key support and resistance levels. In a recent investment note, he pointed out that a sustained breakout above $74,000 would likely confirm an uptrend, potentially pushing Bitcoin toward $80,000. However, he cautioned that a drop below the $65,000 support could signal a return to a prolonged downtrend.

Last week, Bitcoin came close to breaking its all-time high, briefly reaching $74,649 on October 29 before retracing amid election uncertainty.

Bullish Sentiment Despite Election Uncertainty

Many market analysts remain optimistic about Bitcoin, regardless of the election outcome. They see positive signs for risk assets as both candidates show some level of crypto support. Former President Trump is seen as more crypto-friendly, making pledges to support the U.S. crypto sector. Meanwhile, Vice President Harris has recently noted her administration’s interest in fostering investment in digital assets and AI.

Adding to this positive sentiment, investors expect the U.S. Federal Reserve to continue its recent trend of interest rate cuts, following a 50-basis-point cut in September. Lower interest rates tend to benefit crypto, as they make traditional investments like term deposits less attractive, potentially drawing more capital into riskier assets like Bitcoin.