Tuesday the 6th of November 2018 marks the next big election date in the United States, the midterm elections that allow the country to decide who represents individual states at Senate level. It’s an important election, as this is the first chance the people of the United States have a chance to show newly elected Donald Trump what they really think of him, sort of anyway.
According to The Guardian:
“The key question in these elections is: will Republicans will be able to keep control of both chambers of Congress? Just 35 of the 100 seats in the Senate, and all of the 435 seats in the lower House of Representatives are up for grabs. To take control of the legislative agenda and block Trump’s ability to implement his programs, the Democratic party needs to control both houses. With a Senate majority, the Democrats would be able to block cabinet and supreme court appointments. But while they may be able to take the House, clinching the Senate will be much harder. Impeachment, by the way, requires a two-thirds majority in the Senate, so would require Republican votes even if the Democrats won every available seat in November.”
It’s a little complicated if like me, you don’t know a lot about US politics, however the general feeling is that due to Trump’s politics, these elections are some of the most important to ever take place within the United States, suggesting that not only will this impact politics and public feeling, this is sure to have an effect on the cryptocurrency markets too.
What will happen to Bitcoin
During the 2014 midterm elections, Bitcoin didn’t really react to the political movements, therefore some expect that in this instance, Bitcoin will remain steady at a price nearing $6,500.00. Others however believe that during 2014, Bitcoin was still very immature, it didn’t truly fly until the end of 2017, so, a response to US politics in 2014 would have been far less likely. As a result of this, many are unsure about what will happen with Bitcoin.
The same goes for the actual election of President Donald Trump in November 2016. During this time, Bitcoin was valued at a price around $730.00 and remained steady throughout the duration of the election. Even when Trump came into power in January 2017, Bitcoin remained very slow and very steady.
History tells us nothing
The history of presidential elections in the United States and their relationship can’t tell us anything, because the relationship is so new. Therefore, we can’t really predict what will happen to Bitcoin come tuesday. Hopefully, the elections run smoothly and there isn’t too much of a political shake up. We have a feeling though that suggests if there is a bit of a shake up and Senate level, Bitcoin might react accordingly. If people are happy with the outcome in the US, Bitcoin might start to climb, if things don’t go to plan, Bitcoin might take a tumble. We won’t know until tuesday, so at the very best see this as a warning that things do have the chance to change slightly this week. Our advice, hold on and see what happens.