Bitcoin (BTC) Briefly Traded Above $69,000 Today, Coming Close to Its All-Time High (ATH) Value of $73,737 Recorded Earlier This Year in March

Bitcoin ‘Bullish Setup’ Reminiscent Of 2020 Rally

Bitcoin (BTC) price action came closer to its all-time high on Monday as the US presidential election edges closer and recent economic data seems to favor risk-off assets.

Bitcoin price briefly touched $69,000 on Monday, coming closer to its all-time high value of $73,737 recorded earlier this year in March. From its March peak, BTC price slid by over 50% to reach lows of around $33,000 in June.

However, BTC price started to recover in the second half of 2024, attempting to reach a new all-time high as the US presidential election nears. After slipping from highs of around $69,000, BTC price was trading at $68,674 at the last check.

Bitcoin priceチャート from TradingView.com

Fresh from its recent all-time highs, BTC price has been largely trading sideways since March. But the digital asset is up by over 100% year-to-date.

According to Head of Digital Assets Research at VanEck, Matthew Sigel, the price action sets up Bitcoin for a bullish trend into the election. Speaking in an interview with CNBC, Sigel explained our bet is that this is a very bullish setup for Bitcoin into the election. We saw the exact same pattern in 2020 where Bitcoin lagged with low volatility and then once the winner was announced, we had a high volume rally as new buyers come into this market.”

The digital assets lead added that once the election results are confirmed, Moody’s is expected to downgrade US sovereign debt, which could spark a BTC rally in the fourth quarter.

Crypto Fear & Greed Index Now In ‘Extreme Greed’ After BTC Price Surges Past $68K Again

Despite Bitcoin price showing relatively weaker gains in October, a crypto analyst believes that the asset is still well-positioned to reach a new all-time high soon.

Highlighting the federal reserve’s recent interest rate cuts, crypto analyst Michael van de Poppe noted that rates remain high enough to favor risk-off assets like US Treasury bills (T-bills). According to the analyst, the high rates are pulling liquidity away from riskier assets.

He also pointed out the rising M2 money supply, noting the metric’s strong positive correlation with BTC. This suggests that the digital asset could be set for a large rally.

“As long as the M2 supply increases, bitcoin’s price is going to follow… so it’s just a matter of time until bitcoin price is going to pick up momentum.”

notably, van de Poppe also mentioned that a potential Donald Trump presidency could see optimism return to the crypto sector, which could fuel a bull run for digital assets in the coming months.

Trump Continues To Lead In Prediction Markets

Data from Polymarket, a decentralized prediction market platform, shows that Trump is favored to win against Democratic candidate Kamala Harris.

At press time, Trump’s probability of winning the election has surpassed 66%. In comparison, Harris’ odds stand at about 34%.

A recent survey found that the crypto voting bloc’s influence on election results is likely being understated. According to the survey, close to 16% of voters believe that the candidates’ stance on cryptocurrencies will influence their voting choice.

While most in the crypto industry lean toward Trump due to his pro-crypto stance, Harris has been actively courting some of his crypto-supporting base.

An analyst recently opined that a Harris-led administration might be better than Joe Biden’s for the digital asset industry.

BTC trades at $68,674 at press time, up 1.2% in the past 24 hours.

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