Bitcoin on the rise amid US elections

OVER the past week, bitcoin traders and investors have been anxiously keeping an eye on the markets as uncertainties loomed the global stock market.

The good news is that the price of bitcoin shot up a staggering 50% since the last six months, on its way to be named as one of the year’s best performing assets. Just last month, bitcoin spiked over US$14,000 per bitcoin for the first time since 2017.

Within the last two days alone, the price added 4%, following traditional markets that jumped with bulls firmly in control ahead of the US election polls closing.

“We seem to be well in the green across the board right now, both in terms of markets and cryptocurrency,” market advisory firm Quantum Economics analyst Jason Deane said.

“It’s hard to tell where (the spike) is coming from, exactly, but it seems logical that the election must be playing a part,” he added.

It has been reported that others in the bitcoin and cryptocurrency community are confident that the bitcoin price will climb whoever takes the White House in coming days.

However, caution is advised as a number of traders and a few points of implied volatility measurements suggest that crypto market participants expect a shake-up this week.

Data from’s “Bitcoin ATM Implied Volatility” chart indicates that the crypto asset’s options market expects big price fluctuations.

Market players trading traditional finance assets envision a similar market shakeup following the US election.

“Breathe easy today knowing silver and gold will be every bit as shiny and bitcoin as secure as ever, no matter the outcome of this election,” crypto proponent Cryptoredacted wrote.

A good time to invest, but cautiously

The Securities Commission has constantly advised the public to remain vigilant and seek legal or professional advice if they are in doubt about the applicable legal and regulatory requirements pertaining to initial coin offerings (ICOs).

It has also warned investors to be mindful of the potential risks involved in ICOs and investment arrangements involving digital tokens, bitcoin included.

“Given that ICOs operate online and are usually not regulated, investors should be wary of being exposed to heightened risks of fraud,” the SC said.

On the other hand, financial regulators like the SC, Bank Negara Malaysia and other enforcement agencies also need to be constantly vigilant and closely monitor ICO-related activities and take action where necessary. – Nov 5, 2020

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