Grayscale Investments conducted research spearheaded by The Harris Poll. It determined that 71% of expected voters in the US support that political leaders should embrace crypto and AI.

The September study explored perspectives on crypto, artificial intelligence, investing, and how the future of the financial system, among other factors, could shape voting considerations in the 2024 US Election.

American Voters’ Feelings Skewed Towards Crypto

With the US election just a month away, 56% of “likely voters” now favor candidates who are knowledgeable about crypto over those who are not. This marks a 3% increase since May and an 8% rise since December. Voters are increasingly viewing emerging technologies like crypto and AI as essential to building future financial success.

Notably, two out of every five voters (40%) consider candidates’ positions on Bitcoin and other crypto assets when making their decision. This change in sentiment is notable compared to December 2023, when only 34% of voters expressed the same interest.

Read more: Crypto Regulation: What Are the Benefits and Drawbacks?

Further, the study established that more Americans own crypto in the future now than they did in 2023. This is more pronounced among the older generation. It ascribes the shift to the spot Bitcoin ETFs (exchange-traded funds), which offer intuitional investors BTC access.

“Nearly a third (30%) of voters said ETF approval of Bitcoin made them more interested in investing in Bitcoin or other crypto assets broadly. Also, nearly half of voters (46%) indicated that they expect some of their investment portfolio to include crypto in the future — a notable increase since 2023 (40%),” an excerpt in the research indicated.

Another interesting finding in the research is that crypto is progressively becoming a nonpartisan issue in the US. Specifically, there is an almost even split favorwise between the Republican and Democratic parties. This is despite crypto investors’ increasingly diverse voting demographics, such that:

• 63% of Hispanic and 68% of Black voters show interest in investing in Bitcoin, compared to 35% of White voters.
• Nearly a third (30%) of Hispanic and Black (31%) voters currently own Bitcoin, compared to only 13% of White voters.

These findings echo recent Consensys research, which determined that half of US voters support pro-crypto policies. According to the survey, 85% of crypto owners view crypto as a key voting issue. Meanwhile, 92% are likely to vote.

Republicans currently hold a slight edge in being perceived as more crypto-friendly, largely due to Donald Trump’s ongoing promotion of digital assets. Recently, Trump made headlines by purchasing burgers with Bitcoin and launching a DeFi venture, though the latter received a tepid response. He has also vowed to fire Gary Gensler, a top critic of the crypto industry, if elected.

Read more: How Can Blockchain Be Used for Voting in 2024?

Democrats, meanwhile, are seeing growing support from cross-party voters, with increasing warmth toward crypto. Kamala Harris, the party’s candidate, has begun accepting crypto donations and has committed to expanding the use of both crypto and AI in her campaign for the presidency.

The report highlights the growing significance of crypto in U.S. politics. According to Polymarket data, Kamala Harris currently holds a narrow lead, polling at 50% compared to Trump’s 49%, with just 34 days left until the election.

Despite its historical bullishness, October’s beginning has been anything but predictable. Traditionally dubbed “Uptober” by crypto enthusiasts for its typically strong performance, this month has faced substantial disruptions.

These disturbances stem from escalating geopolitical tensions between Israel and Iran, which intensified dramatically on October 1 with a significant missile attack—the second incident this year.

Analysts Believe Altcoin Season Is Closer

This geopolitical strife has injected uncertainty into global markets, impacting cryptocurrencies with over $500 million in liquidations. Nevertheless, some experts view these disruptions as just hiccups preceding an altcoin season.

“Altcoin season is not going anywhere. The market is doing a shakeout. People are being tested. This is just like every other test. You need to pass,” pseudonymous analyst Altcoin Buzz stated.

Read more: 11 Cryptos To Add To Your Portfolio Before Altcoin Season

In response to the market downturn, prominent crypto analyst Miles Deutscher has outlined strategies for opportunistic buying during the dip. According to Deutscher, the key is focusing on previous leaders.

“It’s actually quite simple because we just had a sample size from the market. The market gave us information on the old coins that pumped when things were really bullish last week, so what you want to do is pick the leaders during the most recent rally,” he explained.

Deutscher believes that meme coins and AI tokens have been at the forefront of the market for the last two weeks. Hence, he expects that when the market rebounds from this dip, these sectors might become the strongest performers once again.

Specifically, Deutscher mentioned Dogwifhat (WIF), Pepe (PEPE), Popcat (POPCAT) and Mog Coin (MOG). He also pointed to Fantom (FTM), which showed remarkable resilience during the current market dip. Despite this, Deutscher continues to maintain a position in stablecoins as a hedge against potential further downturns.

“The real alpha here is to make sure your watchlist is pre-prepared based on relative strength. If the market drops further, you’ll know exactly what to buy, and you’ll be mentally prepared rather than panicking and derisking,” Deutscher stated.

He recommends using price aggregator platforms to monitor daily top performers, which are likely to lead once the market uptrend resumes.

Read more: 7 Hot Meme Coins and Altcoins that are Trending in 2024

Other analysts also echo the sentiment that the altcoin season is just around the corner.

“Altcoin season is closer than ever before. Uptober is still Uptober, despite the recent Middle East confrontations. I am starting to swap more Solana (SOL) and Ethereum (ETH) into memes and promising alts that I expect to make 5-10x returns,” crypto researcher 0xFinish noted.

Indeed, by preparing a strategic watchlist and understanding the relative strengths of different altcoins, investors can effectively capitalize on potential market rebounds. As always, vigilance and preparedness are key to leveraging opportunities during periods of volatility.

According to RootData statistics, 97 publicly disclosed crypto VC investments occurred in September, representing a 12.6% decrease from August’s 111 rounds.

September’s total fundraising amount reached $607 million, a 22% drop from the $785 million raised in August.

Notable Decline in Crypto VC Investments

Venture capital activity serves as a key indicator of major investors’ interest in the crypto market. September marked the lowest point in 2024, with only 97 publicly disclosed crypto VC rounds, down from 111 in August.

The total amount raised also fell sharply, dropping from $785 million in August to $607 million in September, making it the worst month of the year for both the number of rounds closed and the amount of investment.

The declining funding volume reflects a cautious approach amid economic and geopolitical uncertainties. Interestingly, the allocation of funds across sectors shifted as well.

Read more: Best Investment Apps in 2024

In August, decentralized finance (DeFi) captured nearly 25% of total investments, with artificial intelligence (AI) following at 15%. In September, infrastructure and DeFi dominated, securing more than half of the overall investment value.

Celestia Takes the Center Stage

The largest event in September was Celestia’s $100 million funding round led by Bain Capital, with additional contributions from Syncracy Capital, Robot Ventures, and Placeholder.

This round brings Celestia’s total fundraising to $155 million, following its recent launch as one of the first modular data availability layer protocols. The startup aims to address a critical challenge in blockchain networks: scalability and data availability.

Read more: Top Blockchain Companies in 2024

Decentralized perpetuals trading platform Infinex raised over $65 million using a new patronage fundraising model. Kain Warwick, Infinex’s founder, introduced the “Patronage” model, designed to offer equal investment opportunities through Patron NFTs, shifting away from the traditional venture capital approach.

Infinex held four rounds of its Patron Sale, attracting both retail participants and major crypto entities, including Wintermute and Solana Ventures.

Huma Finance raised $38 million, includeing $10 million in equity investment and $28 million in yield-bearing RWAs on the platform. Distributed Global led the equity investment, with contributions from Hashkey Capital, Folius Ventures, and Stellar Development. For the RWA portion, Stellar Development Foundation was the largest participant, committing $10 million.

The Open Network and AI-powered blockchain platform Balance.fun tied for 4th place in September by investment size. Crypto exchange Bitget and Foresight Ventures invested $30 million in TON, while Balance.fun raised an equal amount from investors including a16z, Galaxy, and others.