Bitcoin (BTC) Price Continues to Set Consecutive All-Time Highs Above $76,800 as Republican Red Wave Sweeps US Elections

Robust spot Bitcoin ETF inflows, BTC's break out of a 7-month-long downtrend into price discovery, and the success of the US Republican party's red wave across the Congress, Senate and Executive branches of government are signals that have prompted multiple cohorts of institutional investors to boost their allocation to Bitcoin.

Bitcoin (BTC) price continued the trend of consecutive daily all-time highs on Nov. 7 as BTC price traded above $76,800.

The new record highs come amid robust spot Bitcoin ETF inflows, BTC’s breakout from a 7-month downtrend into price discovery, and the success of the US Republican party’s “red wave” across the Congress, Senate and Executive branches of government.

These signals have prompted multiple cohorts of institutional investors to boost their allocation to Bitcoin.

Proof of this can be seen in BTC CME futures volume and BTC CME options open interest.

When asked about the increased activity in CME Bitcoin futures and options markets, HighStrike’s head of crypto options and derivatives, JJ, told Cointelegraph:

“The activity in the CME Bitcoin futures and options markets is a clear indication that institutional investors are returning to the crypto space in a big way. This is being driven by several factors, including the recent rally in BTC price, the upcoming mid-term elections in the US, and the launch of several new Bitcoin ETFs.”

JJ added that the activity in the CME Bitcoin futures and options markets is also being driven by the institutional investors’ anticipation of a continuation in the rally, which is currently at the 78K to 85K price levels.

According to JJ’s analysis of the CME Bitcoin futures and options markets activity, the institutional investors’ short-term price expectations for BTC price are in the $82,000 to $85,000 range.

However, the crypto options trader noted that the institutional investors’ short-term price expectations for BTC price could change quickly, especially if the price action changes drastically.

Institutions anticipate a continuation in the rally, which is currently at the 78K to 85K price levels. From the technical analysis perspective, traders seem to be expecting a rally into the $78,000 to $85,000 range.

Aggregate order book structure at 2.5% depth shows a block of asks in the $77,000 to $78,000 range, followed by what currently looks like open air until $83,000.

Meanwhile, the Fibonacci extension tool currently projects the rally to extend to $82,367, which lines up with the 1.618 level.

On the other hand, aggregated spot volumes have remained consistent while the funding rate has cooled off, and liquidations have been largely insignificant during today’s rally to new price highs.