The calm before the storm? Analyst predictions for the crypto market ahead of the US elections

As the US elections approach, the mutual influence between crypto and politics is palpable. As the vote draws closer, experts are speculating about its potential impacts for Bitcoin and other altcoins. However, the turmoil remains discreet for the moment, with the markets displaying an unusual calm. A report from Bybit and Block Scholes indicates a decline in short-term volatility, but bullish sentiment persists regardless.

A crypto market waiting for a turning point

The last weeks before the American election are distinguished by a strange lull in the crypto market. According to the Bybit and Block Scholes report, bitcoin options show reduced implied volatility for seven-day maturities, reflecting low expectations of short-term movement. However, this does not mean that traders are sitting idly:

• The options structure shows a marked rise beyond 14 days, suggesting increasing uncertainty.
• LFinancing rates, indicators of the cost of holding futures contracts, remain positive.
• BTC call options continue to dominate open interest.

The current calm could only bea parenthesis before a post-election surgeas some crypto analysts predicted.

Bitcoin and Ethereum in the spotlight

Despite the apparent calm, investors are keeping a close eye on the giants of the sector. With the elections in sight, theBitcoin and Ethereum options reveal latent optimism. The positive financing rates suggest that speculators are still betting on an increase in prices.

However, ” it is unwise to underestimate the power of electoral uncertainty », underlines an expert.

This situation could lead to a rise in prices beyond $70,000 for BTC, or even significant movements for the ETH price.

So, if the lull is present, it seems to precede a storm that the markets are already preparing to face.

Also noting that after a historic month of September, Bitcoin faces a major challenge with the American elections in its sights.