Actually, believe it or not, I think that is a US Sharpshooters badge. Here is the entire photo. I found it on German ebay and could not pass it up as it was so strange. The only thing I can guess is the man served in the German/Saxon army during the Franco Prussian war, migrated to the US then joined the US army. Just thought it was very unusual to see German decorations worn in a portrait photo of a US soldier during this time period.
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