As the U.S. election day approaches, there are some notable developments in the cryptocurrency market. Here is an overview of the current situation:

1. **Option market volatility rises**: According to the latest analysis from QCP Capital, as Election Day approaches, the short-term implied volatility in the options market is also increasing, and is 10 volatility higher than the last expiration date. point.

2. **Bulletin Bullish Sentiment**: Although Bitcoin’s price is 8% below its all-time high, investor interest in call options exceeds put options, indicating an overall optimistic bias in the market.

3. **Correlation between the stock market and cryptocurrencies**: It is worth noting that the correlation between the stock market and cryptocurrencies has now reached an all-time high of 0.83, which may indicate that the market is about to usher in a turning point.

4. **Stock Market Situation**: Meanwhile, the situation in the stock market is in stark contrast to the cryptocurrency market. The S&P 500 has hit a record high, and nearly 20% of companies are about to announce third-quarter earnings. The options market prefers to buy put options for protection, and it is expected that the index may fluctuate as much as 1.8% on November 6, the first day after the election.

5. **Money Flow**: The election results are a zero-sum game for the stock market, with different industry winners depending on who ultimately wins. But no matter who wins, both candidates have a friendlier attitude towards cryptocurrencies than the previous administration, which means that if there is weakness in the stock market, money may move to the cryptocurrency market.

To sum up, as the election approaches, the cryptocurrency market is showing bullish sentiment, while the stock market is showing a need for protection. Investors should pay close attention to market dynamics and prepare for possible market turmoil.