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Bitcoin price could rise after US elections

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According to a recent prediction, the price of bitcoin after the elections in the United States could rise to $ 15,000.

The forecast is included in a report published today by Stack Funds, which analyzes in particular the price changes of BTC in relation to the so-called MVRV, that is, market value to realized value.

The hypothesis is that the price could soon break the resistance of $ 12,000 and rise to $ 15,000 after the US elections that will take place in just over two weeks, on November 3, 2020.

This hypothesis seems project historical trends in the coming weeks, and it could become a reality if the price manages to break the $ 11,700 barrier at the end of this week.

Right now, the support level would be around $ 11,000.

Bitcoin Price, MVRV and US Elections

At this time, the MVRV ratio is at 1.8But according to the Stack Funds report it could rise to 2.5, the same level reached in mid-2019 when bitcoin surpassed $ 13,000.

Long-term, the report notes that since the end of 2018, the MVRV has had a long uptrend interrupted only by the collapse of global financial markets in mid-March this year.

The MVRV is a metric created by analysts Murad Mahmudov and David Puell, also creator of Bitcoin's Puell Multiple, and compares market capitalization to realized capitalization, a metric created by CoinMetrics to provide a more accurate assessment of the price of bitcoin.

The Stack Funds report states that the current MVRV level, 1.8, is presumably well supported by the trend line at which the price of bitcoin reached recent lows in late 2018. This trend is shaping a trend. similar trajectory to the bull run of 2017, with a constant inclination to growth.

They write:

Given the strength of the support, we expect a significant breakout of 2.0 in the short term as it looks to retest the 2019 peak at 2.5, which will put the price of Bitcoin above the $ 15,000 level.

Our eyes are wide open at the key $ 12,000 resistance level as we expect further consolidation around current levels ahead of the election before going higher in the future. "

The outcome of the elections, however, does not seem to have a significant impact on these dynamics.



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