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Bitcoin rises above $71,000 as US election results unfold

Bitcoin rises above $71,000 as US election results unfold

GrafaGrafa2024/11/06 11:00
By:Liezl Gambe

Bitcoin (CRYPTO:BTC) briefly surged over 3% in the past hour, reaching $71,500 as markets reacted to Donald Trump’s early lead in the U.S. presidential election.

At the time of publication, Bitcoin’s price retraced slightly to $71,309, based on TradingView data.

Memecoins Dogecoin (CRYPTO:DOGE) and Shiba Inu (CRYPTO:SHIB) also saw notable gains, climbing 5% and 3% respectively.

Meanwhile, Ether (CRYPTO:ETH) and Solana (CRYPTO:SOL) experienced more modest increases of 1.9% and 2.6%, according to CoinGecko.

Trump currently leads the electoral college vote count with 95 votes to Kamala Harris's 35, per Associated Press data.

This electoral momentum appears to be stirring volatility across the crypto market.

Earlier, Bitcoin hit a local low of $68,755, dropping 2.4% around 8:00 pm UTC.

DOGE and SHIB also showed fluctuations but remain up 11.2% and 8.5% over the past 24 hours.

DOGE’s price jump aligns with Elon Musk’s ongoing support for Trump and his “Department of Government Efficiency” movement, which promotes reduced government spending.

Musk’s involvement has kept DOGE in the spotlight amid the election's impact on crypto markets.

Analysts predict heightened volatility following the election results, with Bitfinex noting that Bitcoin could either "fuel big moves" or face a "deeper correction" once the outcome is finalised.

A trader suggested that Bitcoin could swing by “at least” 10% in either direction when the election is called.

Bitcoin’s volatility index reached a three-month high of 65.7 on November 3 before dipping slightly to 63.8, as reported by Deribit.

With the vote count underway in eight states, Trump currently holds a lead of 23 to 3 in electoral college votes.

While some polls will close on November 5 at 11:00 am UTC, the final election results may take days if close margins in key states necessitate recounts.

At the time of reporting, the Bitcoin price was $71,148.32.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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