Leading cryptocurrencies sank alongside stocks on Thursday as investors priced in AI sector risks following Democratic control of Congress.
Crypto Market Does a U-Turn
Bitcoin cratered to $75,220, marking its lowest level since mid-September. Ethereum fell to roughly $2,230–$2,315, hitting its lowest point in nearly 10 weeks.
Cryptocurrency-related stocks also got hammered, with Strategy Inc. (NASDAQ:MSTR) and Bitmine Immersion Technologies Inc. (NYSE:BMNR) closing down 9.29% and 12.56%, respectively.
Approximately $1.2 billion was liquidated from the leveraged crypto market in the past 24 hours, with Coinglass data showing $1.10 billion of that coming from long positions.
Bitcoin’s open interest fell 1.78% over the last 24 hours. Interestingly, retail and whale derivatives traders on Binance turned “Extremely Bullish.”
Market sentiment has reverted to “Fear”, as measured by the Crypto Fear & Greed Index.
Top Gainers (24 Hours)
The Massive Sell-Offs
Stocks took a big beating on Thursday, erasing the post-midterm election gains.
The Dow Jones Industrial Average plunged 1,833.06 points, or 3.44%, to end at 51,523.06. The S&P 500 shed 4.36% to end at 7,353.73, while the tech-heavy Nasdaq Composite fell 5.52% to close at 24,315.00. The three indexes logged their worst session since April 2025.
Investors priced in the risk that data center construction would slow, especially in Texas, where much of the next wave of AI capacity is planned.
Meanwhile, U.S. initial jobless claims declined by 6,000 to 189,000 in the final week of October, compared to market estimates of 196,000.
When Will Bitcoin Rebound?
Michaël van de Poppe, a widely followed cryptocurrency analyst and trader, noted Bitcoin held up relatively better than Nasdaq, with its decline comparable only to the March 2020 crash.
The analyst projected a Bitcoin bottom on Friday, potentially after sweeping the $75,000 level.
On-chain analytics firm Santiment noted Bitcoin moving against crowd expectations after midterms.
Interestingly, bullish social commentary spiked on relief initially, followed by a sharp price decline on Thursday that triggered bearish discussions.
“Retail traders often chase rallies and panic after drops, which is why sentiment extremes can become valuable counter-signals,” Santiment added. “The next setup now favors watching for a relief rally rather than chasing the selloff.”
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