The prices of Bitcoin Cash and Binance Coin have fallen by more than 4% in just 24 hours. In a 7-day range, only Bitcoin has been in the green among major cryptocurrencies.
The outcome of the presidential elections in the United States, scheduled for last December 3rd, aroused growing expectations. At the same time, the cryptocurrency market dawned red, but Bitcoin remained green in that period.
Between November 2nd and 3rd, most of the top 30 cryptocurrencies according to their market capitalization showed losses. The clear exception was Bitcoin, with an increase of almost 3% in just 24 hours. At the time of writing this article, the price of Bitcoin remains above USD 13,600.
According to data from CoinMarketCap, Bitcoin Cash (BCH), Binance Coin (BNB), and Bitcoin Satoshi’s Vision (BSV) fell by more than 5, 4 and, 3 percentage points, respectively.
Of the top 30, the most affected was CRO, from crypto.com, which fell by more than 10%. The Huobi exchange token, NEO, and EOS were also prominent for their negative behavior.
The market showed some recovery since even Bitcoin showed a fall of more than 1%. Also, Ethereum’s cryptocurrency, Ether (ETH), fell by more than 5%.
Looking at the one-week range, it is possible to see that the full market has been bearish. In that period, only Bitcoin has remained green, gaining more than 2%. Some of the top 10 cryptocurrencies have dropped dramatically. Polkadot (DOT), Chainlink (LINK), and BNB have been the most prominent on that list.
Market of Bitcoin and Cryptocurrencies, in General, Has an Eye on US Elections
The shakeup of the cryptocurrency market over the past week coincided with the uncertainty that the US presidential elections created. Given that the US dollar is the main global reserve currency, the markets are always expectant about what happens in the country.
There have currently been two different positions on Bitcoin. On the one hand, the current president and candidate for re-election by the Republican party, Donald Trump, has been against Bitcoin and cryptocurrencies in general. On the contrary, Democrat Joe Biden has had a more neutral attitude towards the issue.
Trump has disqualified Bitcoin and other cryptocurrencies, even going as far as to say that “they are not money.” Besides, he has criticized the volatility of the market of these assets, stating that their value “is based on air” and that they facilitate illicit activities.
Even though Biden has denied having BTC, he has never questioned its value or criticized the existence of cryptocurrencies. Instead, he had a fundraising project with donations in BTC in a first bid for the US presidency for the 2016 elections.
Independently on the elections, Bitcoin remained on the rise while the other cryptocurrencies dropped, confirming the dominance of the main cryptocurrency. According to a study by the analytics firm Glassnode, Bitcoin has shown this superiority even in bullish scenarios.
According to this research, despite the appreciation of the main altcoins against the US dollar, the rate of growth of Bitcoin was higher. In other words, cryptocurrencies gained value against the US fiat currency but lost it against BTC.
By Alexander Salazar
