Long Bitcoin Short Solana Preferred Tactical Trade Heading Into U.S. Election
As the U.S. presidential election approaches, 10x Research recommends a tactical trading strategy of going long on Bitcoin and short on Solana. This recommendation comes as daily transaction fees on Solana have dropped significantly from previous highs, which may negatively impact its token price. According to 10x Research founder Markus Thielen, if Kamala Harris wins, the potential approval of U.S.-based exchange-traded funds (ETFs) related to alternative cryptocurrencies such as Solana may decrease, possibly causing a 15% drop in Solana’s value. In contrast, Bitcoin could see a more modest decline of around 9%. Conversely, a Trump victory might boost prices for Bitcoin, Solana, and Ether by about 5%, as Bitcoin and Ether have ETFs currently trading in the U.S., attracting substantial investor money. Thielen notes that a spike in transaction fees historically correlates with higher token prices, but the recent drop in Solana's fees to $2.5 million from $5 million could lead to bearish sentiment.
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