Bitcoin Price Consolidates Ahead of US Elections With New Highs Expected

Bitcoin price continues to draw attention as traders predict a rally toward a new ATH, regardless of U.S. election outcomes or recent ETF flow changes. Despite consolidation phases and brief corrections, market sentiment suggests that Bitcoin is positioned for fresh gains, with significant price movements expected in the near future.

Bitcoin Price Consolidates Before Next Move 

Following its recent rally, Bitcoin entered a consolidation phase, testing the $66,500 support zone. Despite this brief correction, the cryptocurrency appears set to aim for new gains above $67,800. The current price action has formed a contracting triangle, with resistance at $67,100, suggesting that Bitcoin could soon break higher.

By TradingView - BTCUSD_2024-10-23 (1D)
By TradingView – BTCUSD_2024-10-23 (1D)

A push above the $68,500 resistance could lead to a retest of the $70,000 mark, with traders eyeing the $80,000 target that has gained traction in recent weeks. However, should Bitcoin fail to hold key support levels, it could experience further downside toward $65,500.

Spot Bitcoin ETFs See Fluctuating Flows 

Recent movements in the U.S. spot bitcoin ETFs have also played a role in Bitcoin’s short-term price fluctuations. After a week of steady inflows, spot bitcoin ETFs reported net outflows of $79 million on Tuesday. This reversal followed a seven-day period where cumulative inflows exceeded $2.67 billion, a figure reminiscent of peak levels seen earlier in the year.

ARKB and other large funds like BlackRock’s IBIT experienced both inflows and outflows, suggesting that investors are reevaluating their positions as Bitcoin hovers near critical price levels. While the net outflows temporarily halted the upward momentum, analysts believe this is a short-term correction as Bitcoin prepares for its next leg up.

Bitcoin Price Surge Amid U.S. Elections 

The upcoming U.S. elections have sparked discussions about how Bitcoin’s price might respond to a win by either Donald Trump or Kamala Harris. Traders, however, are increasingly optimistic that Bitcoin price will rally to $80,000 regardless of who takes office. The consensus stems from the candidates’ pro-crypto stances, although Trump is considered more favorable for the industry. Despite these political factors, the broader macroeconomic landscape appears to be the dominant driver.

Analysts point to the Federal Reserve’s rate cuts and the stock market’s upward trend as catalysts that could push Bitcoin beyond its previous all-time highs. As Jeff Mei, COO of BTSE, noted, the market anticipates positive change from any new administration, providing fertile ground for Bitcoin’s growth. Options traders have already set their sights on higher prices, with significant open interest in call options at the $80,000 level, further reinforcing bullish sentiment.

By TradingView - BTCUSD_2024-10-23 (5D)
By TradingView – BTCUSD_2024-10-23 (5D)

Despite momentary corrections and fluctuations in ETF flows, the overall market sentiment for Bitcoin remains bullish. Traders are positioning for a rally toward $80,000, fueled by macroeconomic factors, favorable options activity, and the upcoming U.S. elections. The price could experience short-term volatility, but the long-term outlook points to significant gains as Bitcoin price consolidates and aims for new highs.

Source: https://cryptoticker.io/en/bitcoin-price-amid-us-elections-and-etf-flows/