The new "Bitcoin whales", or investors holding large amounts of assets, seem to be accumulating this cryptocurrency before the possibility of former President Donald Trump winning the 2024 election.
The whales have bought and withdrawn over 1,806 Bitcoin (BTC) worth more than $132 million from 11 newly created cryptocurrency wallets.
The withdrawals from Binance, the world's largest centralized exchange, were flagged by the cryptocurrency intelligence platform Lookonchain in a post on November 6.
Whale wallets have withdrawn $132 million in BTC. Source: Lookonchain
Investor appetite for risky assets like Bitcoin is increasing as Trump is predicted to win the election on November 5.
Several sources, including The Hill and Decision Desk HQ, have declared Trump the winner after he secured key swing states like Pennsylvania, North Carolina, and Georgia, which he lost in 2020.
Bitcoin could reach $80,000 ATH after the election — Analysts
Reflecting the bullish investor sentiment, Bitcoin reached a new ATH above $75,000 on November 6 as traders continued to accumulate ahead of the preliminary election results showing Trump in the lead.
BTC/USD chart, 1 day. Source: TinTucBitcoin
Although volatility is expected to increase after the election results, some analysts see this as necessary for the next growth phase in the price cycle.
Notably, Bitfinex analysts predict a Bitcoin rally to $80,000 before the end of 2024, driven by the options market structure and the Republican party's potential victory in the presidential election. The analysts told TinTucBitcoin:
"The options market structure indicates that over the past few weeks, there has been a significant increase in demand for end-of-year options. The December 27 expiry and the $80,000 strike options are the key areas of focus."
Daily BTC volume during the US election period. Source: Standard Chartered Research, Bitfinex
Adding to its bullish outlook, Bitcoin has now turned the $70,000 level, a crucial resistance, into support, which was previously a significant obstacle for long-term price action.
Cryptocurrency market sentiment remains "Greedy"
Reflecting the increasing appetite for cryptoassets due to the Republican party's potential victory, the Crypto Fear & Greed Index has remained stable above 70, indicating "Greed," according to data from alternative.me.
Crypto Fear & Greed Index. Source: alternative.me
This index is a multi-factor measure of the cryptocurrency market sentiment. The index started increasing from the "Fear" level of 32 on October 11, shortly after Trump took the lead in the top decentralized betting platform, Polymarket.
The odds on Polymarket shifted in Trump's favor on October 4, marking a strong reversal from September. By October 12, Trump was leading by over 10 points, according to a TinTucBitcoin report.
