Bitcoin Price Trends Reflect Previous Election Cycle Ahead of Inauguration

Market analyst Lark Davis suggests a potential trend for Bitcoin (BTC) as it experiences increased volatility and price corrections. He compares current price movements to those during the 2021 presidential election cycle.

Bitcoin Mirrors 2021 Election Cycle

Bitcoin's recent price action mirrors that of the previous presidential election in 2021.
Davis illustrates three phases BTC underwent during that period, relevant as the upcoming inauguration approaches.
Phase one included a rally peaking at $108,000 on December 17, 2024.
Currently, Bitcoin is in the “pre-inauguration dump” phase characterized by market corrections due to political uncertainties.
Davis predicts a potential “post-inauguration pump,” similar to the surge that took BTC to an all-time high of $69,000 in 2021.

Market Anticipates Trump’s Inauguration

Trump's promises to reshape cryptocurrency regulation may bolster Bitcoin's future.
Unlike Biden, Trump aims to support growth in digital assets, including plans for a Bitcoin stockpile to address national debt exceeding $36 trillion.
Davis notes history may not repeat but often “rhymes,” suggesting potential price increases under the new administration.

Crypto analyst Doctor Profit also shows optimism about Bitcoin's performance, emphasizing the need to maintain daily closes above $95,900 and break out above $97,500 to reach the $100,000 mark.

As of now, BTC trades at $97,000, with a 3% gain over the last 24 hours.