By
Tolu Ajiboye
April 23rd, 2024
The performance of both Bitcoin (BTC) and the major stock indexes, in particular, has remained resilient these days.
The ongoing count of the United States presidential election votes has seemed to play a little role in causing the lunge in the price of Bitcoin (BTC), as well as the stock market. According to CoinMarketCap, Bitcoin has risen 1.53% in the past 24 hours without any changes in the past hour at the time of writing (GMT+1, 11:45 am).
The stock market is also seeming unperturbed with the ongoing result announcements which have seen former Vice-President Joe Biden and Democratic presidential candidate take the lead with 50.1% (68,001,889) of the total votes counted against the 48.3% (65,622,749) amassed by the incumbent Donald Trump at the time of writing according to a Reuters live update.
The S&P 500 Index (INDEXSP: .INX) surged 1.78% to 3,369.16. The Dow Jones Industrial Average (INDEXDJX: .DJI) advanced 2.06% to close at 27,480.03. The Nasdaq Composite (INDEXNASDAQ: .IXIC) also tagged along by staying in the green zone with a 1.85% rise to 11,160.57. Tech stocks including Tesla Inc (NASDAQ: TSLA) also closed trading on election day with a 5.84% increment, and the momentum is sustained in the pre-market. Uber Technologies Inc (NYSE: UBER) also closed 2.76% higher with an over 11% surge in today’s pre-market.
The performance of both Bitcoin (BTC) and the major stock indexes, in particular, has remained resilient day after day showing that the key market movers or investors are indifferent to the elections. A position that may change in no time following the volatility that any inconsistency in the electioneering process might spark.
Although the price of Bitcoin stays on a bullish course, it has been rejected at the $14,000 resistance mark once on the election day, and also today November 4th. With the price not apparently plunging down with the results not yet finalized, investors are obviously not motivated to push the price beyond the prominent resistance in a bid to retest new highs this year.
BTC and Stock Market Growth Projection in the Near Term
Bitcoin (BTC) has regained from the market plunge experienced in March this year and is currently up by about 48.9% in the past year. The many events this year including Bitcoin (BTC) halving as well as the soon to be concluded U.S. presidential elections has left many investors wondering about the potential fate of the coin in relation to other assets such as Gold and stocks.
A warning forecast was issued by the Chief Executive Officer (CEO) of CryptoQuant.com Ki Young Ju following the platform’s revelation that Bitcoin’s estimated leverage ratio at Binance hits the all-time high and thus warned investors to “Be careful with high volatility caused by the cascade liquidations.”
The liquidations as warned by Young may have an overbearing effect in dragging down the price of Bitcoin and from the affirmed correlation between Bitcoin, gold, and S&P 500, whatever affects Bitcoin may have an impact on the latter asset and index respectively.