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The cryptocurrency market is consolidating near the $2.5 trillion mark after retreating slightly from the local peak. Judging by intraday performance, the market is undergoing a position shake-up as some players close positions linked to the idea of a Republican victory. Future market dynamics will depend on whether politicians continue to support crypto, which creates the risk of volatility.
Bitcoin is hovering around $75.7k, near highs. This stabilization around 3% helps to relieve short-term speculators who were getting closer to the idea of a Trump victory. The technical picture has changed slightly: Bitcoin is near the upper limit of the ascending channel, which increases the risk of a corrective pullback. At the same time, after surpassing 72, the leading cryptocurrency broke the upper limit, suggesting further growth.
Solana is attempting to copy Bitcoin’s momentum this year, after hitting March highs. However, trading near $200, it is yet to break through the resistance. It’s also still below the 2021 high of $260.
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After updating its balance sheet following the US elections, Glassnode believes that bitcoin can continue to grow thanks to new capital inflows. It has strengthened significantly since early September, suggesting a growing appetite for risk among investors.
According to CoinShares, Donald Trump’s administration is likely to create a more favorable environment for cryptocurrencies, particularly with the adoption of the Bitcoin Act. BTC could be approved as a strategic reserve asset, with the US government able to purchase up to 5% of the available issuance.
Ethereum developers launched the first testnet as part of the Pectra hardfork. The aim is to assess the impact of the EIP before the mainnet launch in the first half of 2025.
According to Lookonchain, Ethereum Whale, which holds 398,891 ETH ($1.14 billion), has started selling assets after eight years of inactivity. On November 7, he sold 13,400 ETH ($37.38 million) amid ETH trading at $2,800.
