History shows that regardless of who wins, Bitcoin may rebound after the US election
The reasons are as follows:
Since the birth of Bitcoin in 2009, it has gone through three presidential elections, after which the price has significantly increased.
From the election in 2012 at 11 to over 1,100 in 2013, then to 700 during the 2016 election, and soaring to 18,000 at the end of 2017. Due to the pandemic in 2020, Bitcoin rose 478% after the election, reaching around 69,000 a year later, and hitting a new high of 73,000 in March 2024.
Impact of Elections
The price of Bitcoin after the election is significantly higher than four years ago, although the increase has gradually diminished. If this trend continues, the price is expected to reach around $103,500 in 2025.
Current Market Status
Currently, Bitcoin's price appears undervalued compared to previous cycles. Whether looking at the cycle low during the FTX collapse in November 2022 or the halving event in April 2024, Bitcoin's performance has been disappointing.
In fact, this is the worst-performing cycle since the halving, with Bitcoin's price currently only 7% higher than at the time of the halving, further validating the theory of diminishing returns.
Conclusion
In conclusion, historical data indicates that US elections have a positive impact on Bitcoin prices. As market volatility and uncertainty gradually fade, Bitcoin is expected to experience a significant rise.