Isabella García
The cryptocurrency market, led by Bitcoin and Dogecoin, experienced a strong rally over the last 24 hours as the U.S. election results delivered political clarity. Republican presidential candidate Donald Trump secured the popular vote, while the Republican Party took control of both the Senate and House of Representatives, providing a boost to the pro-crypto sentiment in the market.
BTC surged over 8% within the day, reaching a new all-time high of approximately $75,358 before slightly retracing to $74,461 in early London trading on Wednesday, November 6. The total market cap of all cryptocurrencies climbed over 6%, hovering around $2.58 trillion at the time of this report. This spike in prices led to more than $531 million in liquidations, with most losses incurred by short traders in BTC and DOGE. On-chain data from Lookonchain revealed that a large investor, or “whale,” lost over $74 million by attempting to short BTC as it reached record highs.
Whale Activity and Institutional Influence Amid Key Market Events
The ongoing crypto bull market has been largely driven by institutional interest, even as price momentum remains steady. However, some analysts on Wall Street, including well-known Bitcoin skeptic Peter Schiff, have cautioned that a “sell-the-news” reaction could emerge soon. Whale investors, particularly those involved with U.S. spot Bitcoin ETFs, have been adjusting their risk exposure ahead of impactful announcements. Alongside the election results, markets are also anticipating updates from the Federal Reserve and the Bank of England, both set to release new benchmark interest rate decisions.
Recent data shows U.S. spot BTC ETFs experienced a net cash outflow of more than $116 million on Tuesday, while BlackRock’s IBIT saw a withdrawal of over $44 million, though it still holds around $30 billion in BTC holdings.
Future Bitcoin Price Trends Following Election Results
Bitcoin has embarked on a fresh bullish trend, and experts are setting higher price targets for the upcoming months in light of the post-election market environment. Though BTC may experience short-term consolidation as some investors take profits, the influx of FOMO (fear of missing out) traders is expected to drive continued gains, intensifying the impact of the current short squeeze.
According to prominent crypto analyst Benjamin Cowen, BTC appears to be on track for a bullish fourth quarter, similar to past bull markets. However, Cowen also noted that Bitcoin’s dominance in the market might see a reversal before the end of the year, potentially signaling the onset of an “altseason,” where alternative cryptocurrencies outperform Bitcoin.
