The price of Bitcoin, which rose to more than $80,000 immediately after the U.S. midterm elections, fell to around $76,000 in a day. Although prices briefly rose on expectations of resolving uncertainties, it is analyzed that concerns over tightening regulations by the Democratic Party, which won the election, are expanding to the virtual asset market.
Bitcoin is trading around $76,000 as of 10 a.m. on the 6th, according to Investing. The price has risen from $77,417 on the 3rd (local time) to $80,476 on the 4th, when the U.S. midterm elections were held, and then fell to $76,000 in a day.
U.S. President Donald Trump has been considered a representative virtual asset-friendly figure. However, as a result of the U.S. midterm elections, the Democratic Party won both the Senate and the House of Representatives, and the ruling Republican Party suffered a crushing defeat. Accordingly, the virtual asset industry predicted that it could have a negative impact on the market in the long term. However, it was analyzed that the price of Bitcoin rose due to the fact that uncertainty was resolved in the short term, but the price of Bitcoin returned the increase in a day and the price of Bitcoin came down again.
Concerns that the U.S. Democratic Party will tighten regulations on the artificial intelligence (AI) industry after the midterm elections have a significant impact on the stock market. Analysts say that the observation that the Democratic Party of Korea will take control of the Congress and strengthen regulations on data center licensing, construction regulations, and tax benefits is dampening investor sentiment. These concerns seem to be spreading beyond the stock market to the virtual asset industry.
Virtual asset investment sentiment is also studying. On this day, Coin Market Cap's fear and greed index was 32 points, which is 'horror'. It is down further from 33 points on the 5th and 36 points last week. The figure dropped by nearly half from 67 on the 6th of last month.
Funds are also being net outflowed from the Bitcoin spot ETF market. According to Faside Investors, $268.7 million (about 364.3 billion won) was net outflowed from Bitcoin ETFs on the 5th (local time). A total of $1.157.4 billion (about 1.57701 trillion won) was net outflow from Bitcoin ETFs from the 30th to the 3rd of last month after the Binance hacking occurred, and $74.6 million was converted into net inflow on the 4th, which is a trend that has returned to net outflow.
