Ether & Bitcoin: How the US Election is Shaping Crypto Sentiment
Key Insights
- Trump's 12% lead over Harris influences crypto sentiment.
- Ether's risk reversal rate hits -7.3%, indicating bearish sentiment.
- Ethereum call options skewed towards selling in September.
As the US presidential election nears, the crypto market's mood is split between Ether and Bitcoin. With Trump pulling ahead of Harris in prediction markets, investor behavior towards these digital assets is on a rollercoaster.
ETH Risk Reversals Hit -7.3% amid Election Volatility
Options traders use risk reversals to read market sentiment. Currently, Ether's risk reversal rate is -7.3%, suggesting pessimism. Interestingly, post-election, Bitcoin's sentiment seems to shift positively while Ether remains uncertain.
Looking back, September saw Ethereum call options being sold more than bought, reflecting caution in short-term price speculation. Nick Forster from Derive highlights the scenario, emphasizing a limited upside for Ether in the near future.
Political Influence on the Crypto Market
The US election's impact on crypto sentiment is undeniable. Trump's rising odds and his integration of DeFi protocol World Liberty Financial intrigue the market. While speculations on his potential favoritism towards certain cryptocurrencies linger, Trump's administration's blockchain inclinations may bode well for the crypto space.
Disclaimer: This content provides insight, not financial advice. Verify information independently. Consult with professionals before investment decisions.
