The US mid-term elections are to be held on November 8th with Democrats and Republicans battling for the majority in the House of Representatives and the Senate. The crypto markets are on the razor’s edge this month with the Feds increasing interest rates by 75 BPS. The non-agricultural job report is set to be out on Friday with elections looming on Tuesday. Therefore, Bitcoin is in the crosshairs of the economic and political development that could dominate its price in the indices.
BTC is shedding the gains it delivered last week and is flirting near the $20,000 mark. Another dip can take the king crypto to its October levels again which remained stagnant for weeks. However, leading crypto analyst ‘il Capo‘ has predicted that BTC could pump to $21,500 levels this week and crash after the mid-term elections as the higher time frames look bearish.
Also Read: Why Are the Crypto Markets Falling Today After Rallying For A Week?
Bitcoin To Crash to $14,000 After the US Mid-term Elections?
Bitcoin could deliver a “fake pump” this week and move upward to $21,000 to $21,500 levels, predicted il Capo. He claimed that BTC appears to be bullish in the short term but bearish when considered in a higher timeframe. He added that BTC’s rise will make altcoins deliver “scam pumps” and that is when the markets will face a “reversal to new lows”.
The analyst predicted that Bitcoin will crash to $14,000 after the US mid-term elections and Ethereum could reach $700.
“Plan for November: Pump to 21000-21500 for the last phase of the distribution. ETH to 1700s. Altcoins has the last scam pumps as well. People calling for altseason. Start of the reversal to new lows. Mega nuke after midterm elections. BTC to 14k and ETH to 700-800,” he tweeted.
Also Read: How Many Times Bitcoin Was Declared Dead in 2022?
Can Bitcoin Fall to $14,000 This Year? Here’s Our Take
The bears have firmly held the crypto markets from rising for 11 months straight in 2022. The markets saw a breakout only a handful of times but quickly reversed in price shedding all gains. The economy is highly unlikely to recover in the next two months adding pressure to Bitcoin and Ethereum’s growth.
Therefore, the markets have more chances of heading south than north this year and shed gains it delivered last month. However, for BTC to reach $14,000, the king crypto should shed 30% of its current price. The veracity of such a crash can be questioned as BTC has held firmly to $18K levels for three months.
While BTC could slip in price, falling to as low as $14,000 after the US mid-term elections might not be a possibility. Also, historically, the stock markets have performed better after US mid-term elections until the dust settles down. You can read how the markets have performed as elections here.
Also Read: Bitcoin: 3 Things That May Affect its Price in the Next 10 Days
At press time, Bitcoin was trading at $20,253 and is down 0.9% in the 24 hours day trade. BTC is also down 70.6% from its all-time high of $69,044, which it reached in November 2021.