In its latest market analysis, 10x Research identified three bullish market reversal indicators for Bitcoin. These indicators include Bitcoin being significantly oversold, the postponement of Ethereum ETF approval to around July 8, which delays the expected "sell the news" event, and President Biden's strong performance in the presidential campaign, providing an uplift for Bitcoin. Bitcoin has risen by 4% as Biden's refusal to let other Democratic candidates compete against former President Trump bolsters his re-election bid.
Key Indicators and Market Insights:
1. Oversold Bitcoin: Bitcoin's oversold status has flipped market reversal indicators to bullish in the latest analysis.
2. Ethereum ETF Approval Postponed: The delay in Ethereum ETF approval to around July 8 extends the timeline for significant market events.
3. Biden's Campaign Impact: Biden's actions in the presidential campaign and his family's robust support for his re-election bid are seen as factors boosting Bitcoin.
Biden vs. Trump: The Crypto Angle
Polls indicate that Biden's re-election efforts face strong opposition:
- Biden vs. Trump: Current polls show that even if Biden withdraws, other Democratic candidates like California Governor Gavin Newsom are unlikely to defeat Trump.
- California's Challenges: Under Newsom's governance, California has faced issues like increased crime, rising homelessness, and the exodus of tech companies—factors that diminish his chances of nationwide voter appeal.
Market Analysis and Predictions:
1. Bitcoin RSI Rebound: The relative strength index (RSI) suggests a temporary Bitcoin rebound, as the cryptocurrency rallied by 4% after Biden's declaration to keep other Democrats from challenging Trump.
2. Economic and Political Dynamics: The intertwining of economic indicators and political events continues to influence Bitcoin’s performance.
Is the Bitcoin Trump Pump Sustainable?
In the June 25 report titled "Bitcoin Is Holding The Line – For Now!" 10x Research emphasized that Bitcoin was deeply oversold, and all three reversal indicators turned bullish shortly after. The delayed Ethereum ETF approval and Biden's solid debate performance are argued to present a sustained bullish signal for Bitcoin.