Election Uncertainty Could Delay Market Rally Until Early 2025
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Market Outlook and Election Impact
Jason Yanowitz of Empire expresses skepticism regarding a bullish market rally following election results. In a recent podcast, he suggested that significant market movements may not occur until January or February due to potential uncertainties in November and December.
Yanowitz noted that both political sides are preparing for disputes over election outcomes, referencing the last election when the Associated Press took several days to announce a winner. He emphasized that uncertainty could hinder market stability.
And now you know.
Regulatory Developments: Immutable's Wells Notice
The SEC continues its scrutiny of various crypto sectors, including exchanges, NFTs, and gaming. Immutable announced it received a Wells notice from the SEC, which indicates an investigation has occurred but does not guarantee an impending lawsuit.
While the likelihood of lawsuits against crypto companies is high, pending actions against Robinhood and Uniswap follow similar Wells notices from earlier this year. Immutable believes the SEC's notice pertains to the listing and private sales of its IMX token from 2021, although specifics remain unclear.
Immutable stated that prior to the Wells notice issuance, extensive discussions typically occur between company counsel and the SEC. However, in this case, the notice was issued swiftly after their initial interaction, with minimal explanation provided.
It remains uncertain if the SEC is intensifying its regulatory approach before the election, but it is evident that more Wells notices and settlements may emerge as the crypto sector prepares for potential market shifts.