Bitcoin’s rally to the $80,000 level was short-lived. On Thursday (Nov. 5, 2026), Bitcoin’s price plunged more than 6% to hit an intraday low of $75,463 on the Bitstamp exchange. This level marks its weakest position since Sept. 16, 2026.
A sharp sell-off at the opening of the Wall Street trading session wiped out the entire post-US congressional election rally. Just a day earlier, a Democratic Party victory had pushed Bitcoin’s price above the psychological $80,000 mark.
Half a Billion Dollars Wiped Out in One Hour
The derivatives market bore the brunt of the sudden downturn. CoinGlass data showed that crypto derivative contract liquidations topped nearly $500 million in just the first hour of the US trading session. Over the full 24-hour period, total liquidations across the crypto market reached between $850 million and $870 million.
The majority of wiped-out funds came from buy positions. Long positions dominated losses with over $428 million in liquidations, hitting traders who had bet on the continuation of the upward price trend.
Why AI Stocks Rattled the Crypto Market
The crypto sell-off moved in tandem with a sharp drop across Wall Street’s tech sector. The S&P 500 slipped 2.7%, while the Nasdaq Composite tumbled more than 4% in its deepest intraday correction in several months.
Concerns surrounding artificial intelligence infrastructure spending were the primary trigger for the sell-off in US stock markets. Voters in at least 29 US jurisdictions approved restrictions on high-power data center construction. According to estimates by investment bank UBS, these local regulatory hurdles could threaten up to 30% of planned data center capacity additions through 2028.
The semiconductor sector led the decline, with the Philadelphia Semiconductor Index plunging about 8%. Shares of CoreWeave, Nebius, and Tesla were also dragged down, falling 9.5% each during the same session.
Oil Climbs, $75,733 Level Under Threat
Market conditions faced added pressure from macroeconomic dynamics outside the tech industry. Global crude oil prices surged again, with WTI moving above $90 per barrel and Brent reaching $97 per barrel amid geopolitical tensions in the Middle East. Simultaneously, US initial jobless claims dropped to 189,000 (a 57-year low), stoking concerns that the Fed will keep benchmark interest rates tighter for longer.
On technical charts, Bitcoin’s price action now risks breaking below the lower boundary of its daily trading channel as well as the 50-week moving average at $75,733. The daily chart also indicates the potential formation of a bearish engulfing candle pattern.
For traders, this rapid reversal illustrates just how vulnerable political rallies are when confronted with rising energy costs and the threat of tight interest rates. The $75,733 line now serves as the nearest support level determining whether the price correction will continue.
Sourced from Cointelegraph.
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Disclaimer: This article is for informational and educational purposes only, not financial advice. Cryptocurrency assets are highly volatile and carry significant risk. Always do your own research (DYOR) and never invest more than you can afford to lose.
