As the 2024 United States presidential election draws near, Bitcoin (BTC) has experienced a notable price shift. On Tuesday, November 4, during the early Asian trading session, Bitcoin’s value decreased by approximately 2 percent, settling at around $67,848. This drop comes after the cryptocurrency faced resistance near its all-time high of approximately $73.3k in recent days. Currently, Bitcoin is reassessing a crucial support level, remaining above the peak reached in July.
Analyzing Bitcoin’s Current Market Trend
From a technical perspective, Bitcoin maintains a bullish outlook, despite the ongoing market correction. On the daily chart, Bitcoin has been consistently forming higher highs and higher lows, a clear indicator of an upward market trend. This pattern suggests that the cryptocurrency is poised for potential growth in the near future.
Why is Bitcoin Price Down Today?
The recent dip in Bitcoin’s price can be attributed to a significant selloff by whale investors. According to the latest market data, US spot Bitcoin ETF issuers experienced their first net cash outflows in seven days, following substantial cash inflows totaling over $2.2 billion. On Monday, led by Fidelity’s FBTC, these issuers recorded a net cash outflow exceeding $579 million. Additionally, Bitcoin’s fear and greed index declined from 77 to 70 in the past 24 hours, although investor sentiment remains largely greedy.
Short-Term Expectations for Bitcoin
Historically, Bitcoin’s price has shown high volatility during the last three US elections, yet the overall trend has remained bullish. With the cryptocurrency issue taking center stage in the 2024 US elections, Bitcoin is anticipated to regain its bullish momentum shortly. Wall Street analysts predict continued bullish momentum for Bitcoin, regardless of the presidential winner. However, within the crypto community, there is notable support for Republican presidential candidate Donald Trump.
If Bitcoin experiences a bullish rebound in the coming days, its price is projected to reach short-term targets between $78k and $84k. These targets align with the daily 1.618 and 2.618 Fibonacci Extension levels, offering potential indicators for future price movements.
