Bitcoin (BTC▲$80,468.00) briefly touched $81,000 on Nov. 4 as $380 million in short positions were liquidated in an hour, helping explain why Bitcoin is going up. Risk assets rallied broadly after the US midterm elections. CoinGecko put Bitcoin at $80,573 at 15:41 UTC, up 4.05% over 24 hours.

Election uncertainty eased, reversing the slide in US stocks and crypto. Bitcoin had hit a seven-week low of $75,600 earlier in the session, leaving traders exposed to sharp moves in either direction.

Bitcoin Rebounds From $75,600 to a Brief $81,000 Touch

How Did Bitcoin Recover During the Session?

Bitcoin fell after Democrats reclaimed both chambers of Congress, then climbed back to $78,000 and held there. It moved higher as US trading began, with the strongest gains coming alongside Wall Street’s positive open.

From $75,600 to $81,000, the rebound was about 7.1%. At 15:41 UTC, Bitcoin’s 24-hour gain was 4.05%.

The low came roughly 12 hours before the afternoon coverage. Within the same day, Bitcoin recovered from its weakest price in seven weeks to above $80,000, reversing its initial response to the election result.

Where Did Bitcoin Trade After Touching $81,000?

Bitcoin met resistance at $81,000. The later price of $80,573 put it back below that mark, though it stayed above $80,000, a threshold it had reclaimed as US markets opened.

Bitcoin had paused around $78,000 before the US open, then cleared $80,000 and briefly reached $81,000. Those levels mark the session’s key turns.

$380 Million in Short Liquidations Accompanies the Reversal

How Concentrated Were the One-Hour Losses?

CryptoPotato cited CoinGlass figures showing $380 million in short liquidations and $90 million in long liquidations over the preceding hour. Shorts made up about 81% of the combined $470 million total.

Short liquidations were roughly 4.2 times long liquidations, a difference of $290 million. Traders betting on further declines took the bigger hit as Bitcoin and other cryptocurrencies rebounded.

Long positions were hit, too: $90 million were liquidated. Even as the market reversed higher, the session’s swings forced bullish traders out of their trades.

The Squeeze Was Part of a $910 Million Daily Washout

Over 24 hours, combined liquidations exceeded $910 million, and more than 117,000 trades were liquidated. The afternoon short squeeze came amid a broader bout of market stress that included the earlier sell-off.

The largest individual liquidation was a $38 million ETH▲$2,433.33/USDT▲$0.9993 order on HTX▼$0.00000157. Ether accounted for the biggest forced closure, even as Bitcoin’s return above $80,000 led the market news.

Traders on both sides faced a fast-moving session. Those who entered after the early drop encountered a sharp reversal; bullish traders also saw positions liquidated during the recovery.

The gains extended beyond Bitcoin. Ether rose more than 6% over 24 hours and about 5% in one hour to reach $2,440, while XRP▲$1.31 moved above $1.30. Gold and silver also rose during the session, as the rebound spread across risk assets and precious metals.

US Stocks Reverse After the Midterm Results

What Changed After the Election Result?

Democrats regained control of both chambers of Congress. Markets first weakened, then turned higher. The Kobeissi Letter called the early equity decline a “textbook bear trap,” citing a result in which Democrats flipped seven Senate seats and 25 House seats.

Investors initially sold risk assets, then stepped back in as the outcome became clearer. Bitcoin made the same turn, recovering from its overnight weakness during the US session.

Fading uncertainty may have helped drive the relief rally. With the election result known, investors shifted from speculation over control of Congress to pricing in what the outcome meant.

How Strong Was the Equity Recovery?

US stock futures reversed their overnight decline as markets reacted to the midterm results. S&P 500 futures climbed from 7,490 points, their lowest level since July 31, to 7,690 points.

That put the recovery at 200 points, or about 2.7% from the futures low. During the US cash-market session, the S&P 500 was up almost 2%; the Nasdaq and Dow Jones had each gained more than 2%.

Bitcoin’s rebound came as investors returned to risk assets more broadly, rather than as an isolated move in crypto. Whether that appetite lasts beyond the initial election reaction is the next test.

Oil’s Slide Adds an Iran Policy Risk

What Happened to WTI and Brent?

US WTI crude fell below $93 a barrel and was down as much as 11.9% for the week. Brent neared a drop below $100 for the first time since Oct. 7 as traders reassessed the outlook after Democratic gains.

Economist Robin Brooks said oil markets had priced in a risk premium that was “too high” before the midterms. His view tied the oil decline to a reassessment of geopolitical risk, alongside the rally in stocks and Bitcoin.

Why Does the Iran Conflict Remain Important?

Iran’s parliament speaker, Mohammad Bagher Ghalibaf, welcomed the result in a post saying voters had “said NO TO WAR, and we endorse this message.” President Donald Trump also acknowledged that the Iran conflict had contributed to Republicans’ losses.

Brooks said the next political question was whether Trump would dial back the conflict or escalate it. Oil’s relief rally now depends in part on policy decisions that could also affect sentiment across financial markets.

Bitcoin recovered as stocks rose and oil fell. Any change in expectations around the conflict could shift that backdrop as investors assess the election outcome.

CoinShares Says Yields, Liquidity and ETP Flows Matter More

James Butterfill, head of research at crypto asset manager CoinShares, saw scope for a broader Bitcoin “relief rally” as election uncertainty faded. A clearer political outcome, he said, could help markets recover from their initial weakness.

But Butterfill put financial conditions ahead of election headlines: “For Bitcoin, real yields, dollar liquidity and ETP flows still carry more weight than the elections.” The longer-term question is whether those forces keep investors allocating to Bitcoin.

The election result can move sentiment quickly. Whether investors keep buying after that initial reaction will depend in part on the yields, liquidity and ETP flows Butterfill cited. Those are the signals to watch as the market looks beyond the bounce from $75,600.

Riot Announces a $28 Billion AI Lease for Its Corsicana Campus

Riot Platforms signed a $28 billion lease for its entire Corsicana campus to be used for artificial-intelligence data centers. The deal puts a major miner’s infrastructure shift alongside the day’s Bitcoin rally: Riot is expanding into AI while continuing its mining business.

The miner has sold 20,264 BTC this year to help fund its data centers. Mining still accounted for about 64% of Riot’s third-quarter revenue, so the company is balancing bitcoin production with the longer-term expansion of its computing facilities.

Riot’s next steps matter beyond the price rebound. Proceeds from bitcoin sales can fund construction and conversion work, while mining’s continuing share of revenue leaves the company exposed to BTC prices and operating conditions.

Bitcoin Risks: A Short Squeeze Faces Its Next Test

What Could Sustain the Recovery Above $80,000?

A clearer election outcome, stronger US stocks and the liquidation of bearish positions all supported the rally. If risk appetite holds, Bitcoin will have a more favorable backdrop for another test of $81,000.

Buyers must now defend the area above $80,000 after the forced closures. Holding there would keep Bitcoin above the threshold it reclaimed at the US open. A push past $81,000 would test demand after the initial burst.

Butterfill’s focus on yields, dollar liquidity and ETP flows points to the next set of signals. As the market shifts from reacting to the election to weighing the conditions for continued buying, those factors will matter.

What Could Break the Rebound?

A drop below $80,000 would put the recovery under pressure. The earlier consolidation around $78,000 is a nearby reference, while the session low of $75,600 marks the full reversal.

More than $910 million in positions were forced out over 24 hours, with bullish and bearish traders both taking losses. The liquidations show how quickly a sharp change in direction can catch traders off guard.

Political risk remains another threat. Brooks’ question of escalation or de-escalation in Iran still hangs over oil markets. A policy shift in the wrong direction could undo some of the relief that accompanied Bitcoin’s afternoon recovery.

FAQ

When Did Bitcoin Reach $81,000?

Bitcoin briefly reached that level on Nov. 4, 2026, during the recovery around the US trading session. At 15:41 UTC, it was trading at $80,573, below the intraday peak.

How Far Did Bitcoin Recover From Its Session Low?

Bitcoin climbed about 7.1% from the reported low of $75,600 to the brief $81,000 high. Its 24-hour gain was 4.05% at 15:41 UTC.

How Much Was Liquidated in Shorts in One Hour?

Short liquidations totaled $380 million in one hour. Another $90 million in long positions were liquidated in the same interval, bringing the combined total to $470 million.

How Much Was Liquidated Over 24 Hours?

Combined liquidations across bullish and bearish positions exceeded $910 million. More than 117,000 trades were liquidated during the volatile period.

What Was the Largest Individual Liquidation?

The largest individual liquidation was a $38 million ETH/USDT order on HTX. It involved Ether, though Bitcoin’s move above $80,000 led the market news.

How Did US Stocks Perform During Bitcoin’s Recovery?

The S&P 500 was up almost 2% during the US cash-market session. The Nasdaq and Dow Jones had each gained more than 2% after futures reversed their overnight declines.

Which Factors Did CoinShares Say Matter More Than Elections?

CoinShares research head James Butterfill named real yields, dollar liquidity and ETP flows. He saw potential for election-related relief but said those financial drivers mattered more than politics for Bitcoin.

This article is for information only and is not financial advice.

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