Bitcoin dipped just below $76,000 as Democrats appeared to win both chambers of Congress, then erased its losses within hours. Analysts credit fading political uncertainty, while ETF outflows keep demand in question.
Bitcoin fell just below $76,000 early Wednesday after reports indicated Democrats were winning control of both chambers of Congress, a setback for pro-crypto President Donald Trump. It then staged a V-shaped recovery and traded 0.5% higher on the day at the time of writing.
Crypto Briefing put the intraday low at approximately $75,630, against about $77,500 before the vote.
Traders read the dip as uncertainty, not surprise
TDX Strategies founder Dick Lo said the recovery reflects easing uncertainty as a clear outcome resolved the political picture. Paradigm's Nicolas Quatravaux made a similar point, saying the result was not a surprise and that overnight trading was about the uncertainty going away.
The odds had pointed that way. Before the vote, prediction market Kalshi gave Democrats a 94% chance of taking the House and a 74% chance of winning the Senate, according to Crypto Briefing.
Options desks stayed busy. Quatravaux said election day printed about $660m notional of BTC options blocks, more than double the day before, with roughly $420m of call options bought against about $105m sold.
Analysts watch resistance and ETF flows
Markus Thielen, founder of 10x Research, pointed to bitcoin's daily stochastics and said the asset looked oversold and could climb toward $82,000.
ETF flows point to weakness in demand, however. U.S.-listed spot ETFs recorded $515 million in outflows last month and have already seen an equal amount leave in the first two trading days of November, according to SoSoValue.
Bitget Wallet research lead Lacie Zhang said the broader trend remains consolidative below key resistance around $80,000–$82,000. A more durable recovery, she said, would require bitcoin to reclaim that level while spot demand and institutional flows remain supportive.
Sources: CoinDesk, Crypto Briefing
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