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Analysts Say November to Continue to Be a Strong Month for Crypto
- Cryptocurrency markets are experiencing volatility, with notable declines in Bitcoin, Ethereum, Solana, and Dogecoin.
- Jamie Coutts warns of increased risk for assets as USD strengthens and central bank actions fluctuate.
- Swissblock analysts highlight the US presidential election as a key factor, stressing the market impact of potential non-acceptance of results.
- US spot Bitcoin ETFs see significant growth, now holding over 1 million BTC valued at approximately US$68 billion.
The crypto market continues its rough and choppy journey. On the weekly timeframe, Bitcoin, Ethereum, Solana, Dogecoin, and other major cryptocurrencies are mainly trading flat. Meanwhile, the Fear & Greed Index on CoinMarketCap has slipped into Neutral, a steady decline from late October when things looked a little more positive.
Chief Crypto Analyst at Realvision, Jamie Coutts is urging caution for risk assets as the US Dollar strengthens and central bank liquidity shifts.
Related: Victoria Police Seize $142,679 in Crypto Under New Legal Framework
On Crypto Twitter, he wrote that two out of three indicators on his model “now flash caution for risk assets”.
With every round of central bank printing, Bitcoin’s positioning as the least risk ‘risk asset’ strengthens.
Jamie Coutts Harris? Trump? Analysts Say It Doesn’t Really Matter
Meanwhile, Swissblock analysts wrote in a recent note that the US presidential election has become the “most significant short-term factor”.
But according to the analysts, it isn’t about whether Trump or Harris wins; it’s rather about whether the winner will accept the outcome, which could have a significant impact across all markets.
The concern is whether one of the candidates will refuse to acknowledge the other’s victory, which could lead to a legitimacy and institutional crisis in the U.S., triggering a shockwave that could ripple across all markets, at least in the short term.
Swissblock Hopefully, the election will resolve “within legal and democratic bounds”, which should soothe all financial markets, including crypto.
Related: Crypto Leaders Anticipate New US Policy Direction Regardless Who Wins White House
The election aside, November could shape up to become a very positive month for crypto, especially Bitcoin. The analysts wrote that the month could be “setting the stage for a potential continuation of an ‘Uptober’ that didn’t start as many expected”.
This month will likely begin with a similar promise, as uncertainty—the greatest fear of all—starts to fade.
Swissblock US Spot Bitcoin ETFs Now Hold 1 Million BTC
If November sees strong returns for BTC, the crypto exchange-traded funds (ETFs) will surely do well too. The US Spot Bitcoin ETFs have outperformed traditional funds, which has led to these ETFs now amassing over 1 million Bitcoin.
Last week, 37,628 BTC were added to the US Spot ETFs, with BlackRock’s IBIT accounting for 34,356 of these. The funds now hold over US$68 billion (AU$103 billion) in BTC.
Author
Aaron Feuerstein
Aaron Feuerstein is a freelance writer based in Melbourne. His focus is on decentralised finance and the regulatory space surrounding blockchain. He holds a Master's in Accounting. When he is not studying the latest legal case, he enjoys his time as a modest but eager hobby cook.
