Analytics / Forex and Crypto News
As soon as the elections started in the US, crypto traders braced themselves for uncertainty. As the votes are counted, the price of Bitcoin changes. When news of Trump's victory breaks out, Bitcoin starts to decline and the dollar strengthens.
As soon as Biden had prospects of winning, the price of Bitcoin jumped to the $14000 mark. But when news broke about Trump's victory in some states, the pair BTC/USD plummeted to $13500. At the time of publication, the pair BTC/USD has risen and is trading around $13900.
The prospects for Trump's victory are weighing on the price of Bitcoin. Traders hoped that if Biden wins, the new administration will speed up the coronavirus incentive law.
This year fiscal aid from the US government has cut long-term bond yields and weighed on the US dollar. As a result, investors had to seek safe ways for their capital and they started investing in Bitcoin.
Now investors have taken a wait-and-see attitude towards the results of the US elections.
Some analysts say Bitcoin will still drop to $13000 again before the election results are announced. If Biden wins, traders will open long positions, and if Trump wins, short-term ones.
That being said, Bitcoin's long-term bullish sentiment remains unchanged due to a guaranteed incentive package from either candidate.