Bitcoin Analyst Sees Bull Season Ahead of US Midterm Elections
Bitcoin has been trading sideways near $64,000 as uncertainty surrounding US monetary policy and geopolitical risks in the Middle East persists. However, one analyst is predicting a new bull season for Bitcoin may be on the horizon after the US midterm elections.
Joao Wedson, founder and CEO of cryptocurrency analytics company Alphractal, has analyzed the link between Bitcoin price movements and US election calendars. He found that before and after US midterm and presidential elections, Bitcoin exhibited similar price behavior.
Historical data suggests that Bitcoin faced challenges before US midterm elections but recovered once uncertainty subsided. In some cycles, the price bottom occurred just a few days before the midterm elections, while in other periods, the bottoms were seen immediately after the elections.
The analyst also noted that presidential elections have a different impact on Bitcoin prices, with the cryptocurrency rising strongly each time a president wins an election and approaching a major cycle peak shortly after the president takes office. Wedson cited XRP as another example, which began a sharp rise on the day Donald Trump won the 2020 election and reached its local peak on January 20, 2021.