“The next two weeks will be fascinating for Bitcoin! Of course, the US mid-term (non-presidential) elections on Nov. 3 loom the largest,” he said via emailed commentary.
“But other drags on markets, especially for risk-on assets, such as tariffs, the US-Iran war (which has now expanded to most of the Persian Gulf), the Russia-Ukraine war, and the inflation resulting from all of them are still very much present,” noted Enneking.
“Then there’s the interplay: it currently appears that Republicans will get hammered in the mid-terms, and, if that comes to pass, such a result could trigger a very intense, unpredictable and perhaps chaotic reaction from Trump on all three of those fronts,” he emphasized.
Hugo Renaudin, CEO of Ulys, also stressed the key role the mid-term elections will play in bitcoin markets going forward.
“The market is waiting on 3 events: the Fed meeting on the 28th, Strategy earnings on the 29th and the midterms on November 3rd,” he said through email. “Strategy is the largest corporate buyer of $BTC so any change in how fast it buys or how it funds it will be read as a signal on institutional demand.”
Ryan Myher, COO of Genius, offered a similar take on the matter.
“The Fed decision on October 28 and the next round of big tech earnings are the main macro items that could push it one way or the other,” the analyst stated via emailed commentary.
“Spot ETF flows have been mixed, so those will matter too,” he noted.
“Until something clears the range with conviction, short-term traders should expect more of the same back and forth.”
Ray Salmond, founder of StaySolvent Research, also weighed in on what’s next for bitcoin, but opted to focus on the back-and-forth between bulls and bears.
“Bitcoin’s caught in a messy divorce, with perpetual futures market data at Binance showing bulls and bears locked in a tug-of-war for custody,” he stated through commentary that was placed in a Google Doc.
“Liquidation heatmap data shows $8 billion in short positions spread out above $BTC’s spot price, while $7.6 billion in long positions sit beneath it,” added Salmond.
“The Oct. 21 rally to $84,890 burned through some of this overhead short liquidity, but profit-taking near $85,000 slowed the squeeze,” he stated. “On the downside, $80,000 remains key support for bulls, with roughly $3.57 billion in longs at this level, followed by $3.6 billion in longs at $79,000.”
