It is the ignition resistor by pass circuit, sending full B+ voltage to the points & coil when cranking. 12v systems have resistance wire or resistor to bring down voltage to keep points alive. This disconnected wire will result in low voltage to the coil primary windings = weak spark when cranking. If you were in a cold climate it would have caused issues by now.


BC
1960 Chevy C10 driver 261 T5 4.10 dana 44 power loc
1949 GMC 250 project in waiting
1960 C60 pasture art
Retired GM dealer tech. 1980 - 2022