Bitcoin (BTC) Price Experiences Higher Volatility Today Following the Confirmation of Pro-Crypto Donald Trump as the President-elect of the United States

Bitcoin dominance has reached 60%, signaling a potential reversal that could benefit altcoins like Ethereum and Solana.

Bitcoin (BTC) price showed higher volatility today after pro-crypto Donald Trump was named President-elect of the United States following the November 5th elections. The volatility is set to continue as the Federal Reserve and Bank of England prepare to adjust their respective benchmark interest rates on Thursday, November 7th.

However, the crypto market is largely bullish with the fear of an upcoming near-term correction being significantly lower than last month. The notable presence of FOMO traders, amid the recent short squeeze triggered by Trump’s victory over Kamala Harris, could propel Bitcoin price further in the coming weeks.

Top Reasons Why Crypto Investors Should Proceed With Caution

New investors often hold $BTC through bear markets, enduring losses.

After about two years, it changes hands when pain eases.

That time is now.

It could go up 30-40% from here, but not like the 368% we saw from $16K.

Time to consider gradual selling, not all-in buying, imo. pic.twitter.com/hXRT6YBsxS

According to Ki Young Ju, founder and CEO of Cryptoquant, Bitcoin investors who bought at the peak of the 2022 bear market are preparing to take some profits in the coming months. As such, Young noted that this is not the best time for investors to enter the Bitcoin market all at once.

Moreover, the diminishing returns scenario may prevent Bitcoin price from performing similarly to the bullish breakout late last year, which yielded over 368% in gains.

Most notably, Bitcoin’s dominance has reached a critical juncture at over 60%, which serves as a major psychological resistance level. Furthermore, the weekly Relative Strength Index (RSI) for Bitcoin’s dominance has remained in oversold territory, indicating an impending reversal in the near term.

A reversal in Bitcoin dominance will open up space for the altcoin market, led by Ethereum (ETH), Solana (SOL), and Dogecoin (DOGE), among others, to flourish in the coming months.

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