Bitcoin Investors Prepare for Market Fluctuations Following the 2024 U.S. Elections

The potential market fluctuations after the 2024 U.S. elections have prompted Bitcoin (BTC) investors to take action. According to Bloomberg, following a significant drop in global markets in August, Bitcoin’s 30-day latent volatility index reached a peak. This index, created by CF Benchmarks, derives from CME Bitcoin option pricing and indicates signs of uncertainty in the market. The high volatility in the index suggests that Bitcoin investors are bracing for the outcomes of the U.S. presidential elections.

Anticipated Intense Fluctuations Post-U.S. Elections

Caroline Mauron, co-founder of Orbit Markets, noted that markets expect an 8% fluctuation on the day following the elections. This figure is significantly higher than the typical 2% volatility seen under normal circumstances.

According to Mauron, there is no significant fluctuation premium anticipated in the markets after November 7. This increases expectations that the election results will be confirmed swiftly. However, public polls indicating a tough competition suggest that this forecast might be overly optimistic. Investors remain vigilant for both potential scenarios.

Bitcoin Price Expected to Range Between $60,000 and $80,000

The balanced distribution of Bitcoin buying and selling options in October reveals that investors have adopted a dual strategy in anticipation of the U.S. presidential elections. This strategy encompasses positions that account for both price increases and decreases.

According to a report from Derive.xyz, these dual positions may result in Bitcoin’s price fluctuating between $60,000 and $80,000 in November. Data from Deribit also confirms this anticipated movement within this range. The current peak levels of open interest in the options market indicate that investors are speculating across a broad price spectrum.

During this period, investors are taking measures to protect themselves against potential fluctuations. Currently, BTC is trading at $68,815, reflecting a 0.63% increase in the last 24 hours.