Bitcoin Erases Post-Election Rally as BTC Returns to Yesterday's Starting Point Near $76,400
Bitcoin has erased almost its entire recovery from yesterday, falling back to approximately $76,440 after briefly reaching $80,900.
But the reversal has several contributing factors.
Why Did Bitcoin Rally Yesterday?
The initial recovery followed the November 4 U.S. midterm elections. Improving sentiment around political uncertainty, falling oil prices, a weaker dollar and hopes for progress toward ending the Iran conflict supported risk assets.
Bitcoin climbed from below $76,000 toward $81,000. However, the move was partly fueled by short covering, with more than $378 million in bearish crypto positions reportedly liquidated.
The recovery lost momentum as weakness returned to technology and semiconductor stocks. Qualcomm's disappointing smartphone-chip sales added pressure to the technology sector, weighing on Bitcoin's broader risk-sensitive market sentiment.
Leveraged liquidations accelerated the decline. Around $718.5 million in crypto positions were liquidated over 24 hours, including approximately $595.5 million in long positions.
Interestingly, U.S. spot Bitcoin ETFs still recorded around $148.1 million in net inflows on November 5. This suggests today's selling was not simply driven by institutional ETF outflows.
Key Bitcoin Levels to Watch
- $75,500–$76,000: Immediate support zone.
- $74,000: Next downside target.
- $72,000: Major lower support.
- $80,000–$80,900: Recovery resistance zone.
.
Yesterday's move above $80,000 appears to have been driven more by election-related optimism, improving macro sentiment and short covering than by a confirmed return of strong buying demand.
Today's reversal exposes the weakness behind that recovery.
The next major test is whether buyers can defend $75,500–$76,000. Losing this zone could expose Bitcoin to further downside toward $74,000 and potentially $72,000.
$BTC $XRP
#BinanceReopensWithdrawalsForMoreAssets
Bitcoin has erased almost its entire recovery from yesterday, falling back to approximately $76,440 after briefly reaching $80,900.
But the reversal has several contributing factors.
Why Did Bitcoin Rally Yesterday?
The initial recovery followed the November 4 U.S. midterm elections. Improving sentiment around political uncertainty, falling oil prices, a weaker dollar and hopes for progress toward ending the Iran conflict supported risk assets.
Bitcoin climbed from below $76,000 toward $81,000. However, the move was partly fueled by short covering, with more than $378 million in bearish crypto positions reportedly liquidated.
The recovery lost momentum as weakness returned to technology and semiconductor stocks. Qualcomm's disappointing smartphone-chip sales added pressure to the technology sector, weighing on Bitcoin's broader risk-sensitive market sentiment.
Leveraged liquidations accelerated the decline. Around $718.5 million in crypto positions were liquidated over 24 hours, including approximately $595.5 million in long positions.
Interestingly, U.S. spot Bitcoin ETFs still recorded around $148.1 million in net inflows on November 5. This suggests today's selling was not simply driven by institutional ETF outflows.
Key Bitcoin Levels to Watch
- $75,500–$76,000: Immediate support zone.
- $74,000: Next downside target.
- $72,000: Major lower support.
- $80,000–$80,900: Recovery resistance zone.
.
Yesterday's move above $80,000 appears to have been driven more by election-related optimism, improving macro sentiment and short covering than by a confirmed return of strong buying demand.
Today's reversal exposes the weakness behind that recovery.
The next major test is whether buyers can defend $75,500–$76,000. Losing this zone could expose Bitcoin to further downside toward $74,000 and potentially $72,000.
$BTC $XRP
#BinanceReopensWithdrawalsForMoreAssets
