Bitcoin Whales Playing Safe Ahead of Donald Trump vs. Kamala Harris Showdown
Bitcoin whales are reducing their BTC exposure ahead of the Donald Trump versus Kamala Harris US election showdown.
With less than 72 hours left, all eyes are on the upcoming United States general election; this comes after months of supercharged campaigning.
A quick glance at prediction market odds reveals betters favor Donald Trump, the GOP candidate. Meanwhile, Democrat nominee Kamala Harris has been narrowing the gap according to Polymarket data.
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The Donald Trump Versus Kamala Harris Showdown
Macroeconomic factors aside, crypto, Bitcoin, and Ethereum are the focus of this voting cycle.
Former president Donald Trump plans to make America a crypto hub (at least as he promised in his campaigns).
On the other hand, Kamala Harris, the sitting vice president, wants to create a regulatory framework to make crypto investing and trading easier in the country.
With the clock ticking (quite fast) and anticipation building, crypto players are playing safe and bracing for unusually high volatility.
Bitcoin Whales Reducing Their Exposure
According to Santiment data, a platform where analysts track crypto sentiment, Bitcoin whales, or addresses with at least 100 BTC, are cautious in their activity.
This cohort, mostly comprised of institutions, are keeping a low profile, especially when looking at their commitment to trades.
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Notably, after an uptick in trading activity in the recent few trading days, these whales have reduced their sizes and are “sitting back and observing.”
While their reticence doesn’t imply that BTC prices will continue slipping, as has been the case since last week, their action points to the expected patience—expected due to the high-stakes elections.
With spot Bitcoin ETFs live in the United States and Wall Street players in the picture, their decision to cut back on sizes is not out of the ordinary.
Until things cool off and the trading world responds to the outcome of this election, retail traders should likely get used to light liquidity.
DISCOVER: The Next 100X Cryptocurrencies in November 2024
Whale Addresses Up: Will BTC Breach $74,000?
Despite whales being cautious, analysts noticed that the number of whale addresses has increased.
In the past two weeks, the number of unique addresses with at least 100 BTC rose by 297–a nearly 2% increase. This trend could mean that whales are accumulating, expecting big moves in the coming days.
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As whales accumulate, sharks, or addresses with less than 100 BTC, fell by 20,629 during the same period.
The divergence could suggest that sharks could be even more cautious, looking to offload their positions ahead of the expected volatility.
Overall, whales buying while “retail” selling is a contrarian signal pointing to confidence as the big boys expect BTC to perform strongly in the coming sessions.
Still, how prices evolve in the next few weeks will be crucial in setting the short to medium term trajectory.
Bitcoin remains below $70,000, reversing gains of late October. The local support to monitor is $67,600. If there are losses beyond this reaction level, it could point to more weakness in the coming sessions.
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Conversely, gains above October highs may trigger a wave of buyers pushing the most valuable coin to a new all-time high, even to $100,000.
EXPLORE: Harris Odds Rise on Polymarkets: What Will Happen With US Election Crypto?
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