Bitcoin Erases Post-Election Gains as Liquidations Top $1 Billion
Bitcoin has wiped out its post-election rally, falling about 6% to near $75,700 on Thursday 5 November as a sharp sell-off in US technology and AI stocks spilled into crypto markets. More than $1 billion in leveraged crypto positions were liquidated over 24 hours, according to CoinGlass data cited by The Block and CoinDesk.
The drop came a day after Bitcoin briefly climbed above $80,000 on Wednesday, following Democrats’ victories in the US midterm elections, Cointelegraph reported. Ether fell more than 7% to about $2,247. Bitcoin recovered to around $76,000 on Friday morning before slipping again after the US jobs report, Investor’s Business Daily reported.
Why Did Bitcoin Fall?
Analysts linked the slide to Thursday’s 5.5% plunge in the Nasdaq, its worst day since April 2025. Analysts at FalconX and GSR said the sell-off reflected concerns that the Democratic sweep of Congress could slow AI data-centre construction, adding to doubts about the returns on heavy infrastructure spending, CoinDesk reported.
Market maker Wintermute said Wednesday’s rebound had been driven by short-lived optimism after the Binance hack and the elections, while wider economic pressures were still weighing on markets. It named $73,000 and $68,000 as the next levels to watch if the fall continues, and said Bitcoin would need to reclaim and hold $80,000 before it turned more positive.
How Much Money Left Bitcoin ETFs?
US spot Bitcoin exchange-traded funds recorded $430.2 million in net outflows on Thursday, according to SoSoValue data, while Ether funds lost about $100 million. Fidelity’s FBTC led with about $200 million in withdrawals, and BlackRock’s IBIT lost $105 million, extending its outflow streak to five sessions and more than $1 billion since 30 October, Cointelegraph reported.
- Bitcoin: about $75,700 at Thursday’s low, down about 6%
- Ether: about $2,247, down more than 7%
- Liquidations: nearly $1.1bn in 24 hours, affecting about 211,000 traders
- Spot Bitcoin ETFs: −$430.2m on Thursday; about −$870m for the week to Thursday
- Strategy and Coinbase shares: each down about 10% on Thursday
Around $880 million of the liquidations happened within four hours, mostly from long positions betting on higher prices, according to The Block.
What Does a Democratic Congress Mean for Crypto?
The election result has forced the crypto industry to rethink its strategy in Washington, The Block reported, and Cointelegraph has examined what it means for market-structure legislation such as the CLARITY Act. Democrats expected to lead House committees have also promised to investigate the Trump family’s crypto ventures, after winning both chambers of Congress.
What Else Is Happening in Crypto?
Samsung Wallet has launched a feature that lets eligible US Galaxy users buy, hold and send the USDC stablecoin on the Solana network without a separate crypto app, The Block reported. American Bitcoin, the mining company co-founded by Eric Trump, reported a third-quarter net profit of $126 million, helped by a $197.3 million gain on its Bitcoin holdings.
Crypto prices are volatile and can fall sharply in a short time. This article is for information only and is not investment advice.
Featured image: A physical Bitcoin coin held over a laptop, by Shixart1985 / Wikimedia Commons, CC BY 2.0.
Sources
- CoinDesk — Bitcoin recovers $76,000 level as ETFs shed $430 million after tech rout (6 November 2026).
- The Block — Bitcoin falls as crypto liquidations top $1 billion, and more (6 November 2026).
- Cointelegraph — Bitcoin, Ether ETFs post $530M outflows as election gains evaporate (6 November 2026).
- Investor's Business Daily — Bitcoin tumbles on ETF flows, liquidations (6 November 2026).
