Bitcoin rises above $80,000 as stocks gain after midterm results
Bitcoin climbs back above $80,000 after overnight drop
Bitcoin rose above $80,000 on Wednesday, Nov. 4, after falling below $76,000 early in the day as reports pointed to Democratic gains in the U.S. midterm elections.
The price later reached $81,000, then held just above $80,000 and was up 3% over 24 hours. At midday it was $80,450, up 3.65% over 24 hours.
Stocks also gained. The Dow Jones Industrial Average was up 3.1% later in the session. The Nasdaq was up 1.75% at that point, after earlier gains of more than 2%.
Main moves in crypto and stocks
- Ether was up 6% at midday. XRP and Solana were each up about 3.5%.
- AI data center stocks fell sharply. Hut 8 and Cipher Mining were each down more than 20% at midday.
- CleanSpark, Core Scientific, Galaxy Digital and IREN were each down more than 10% at midday.
- Strategy shares, listed as MSTR, were up 6.5% when Bitcoin was at $80,500.
- WTI crude oil was down nearly 8% to $88.50 per barrel later in the session.
Why analysts linked the rebound to fading uncertainty
Several reports in the source said the recovery followed the resolution of election uncertainty. TDX Strategies founder Dick Lo said Bitcoin first fell after the Democratic midterm results, then recovered as a clear outcome reduced uncertainty.
Lo also said a Democratic-controlled Congress is generally seen as less favourable for pro-crypto legislation. He said divided government makes large policy shifts less likely, while President Trump could still use executive orders and veto authority.
Nicolas Quatravaux, head of EMEA at Paradigm, said the outcome was not a surprise because Polymarket had shown a Democratic win above 75% for some time. He said overnight trading was more about uncertainty going away.
Quatravaux said about $660 million notional of Bitcoin options blocks traded on election day, more than double the day before. A block is a large trade agreed privately. A call option is a bet that a price will rise.
Joel Kruger, market strategist at LMAX Group, said investors may find fresh opportunities in stocks and other risk assets as election uncertainty fades. He said large Democratic majorities would lack the votes to override a presidential veto.
Strategy STRC reaches $100
Strategy's preferred stock STRC briefly reached $100 on Wednesday afternoon. It then pulled back to $99.99.
STRC pays a 12% annual dividend, paid on a daily basis. It had traded near $100 for about two weeks before reaching that level.
The source said that if STRC reaches $100, Strategy would shift from repurchasing the stock to issuing it. The source said proceeds would be used to buy more Bitcoin.
Strategy raised more than $10 billion with STRC to buy Bitcoin since the July 2025 IPO, according to the source. Since buybacks began in summer 2026, it had raised $0 from STRC and repurchased more than $2 billion, the source said.
Recent small Bitcoin purchases by Strategy came from common stock sales or cash reserves, the source said.
Data center stocks diverge
The source described AI data center stocks as the biggest losers after the election results. It said several winning candidates had campaigned against the sector.
TeraWulf, Keel Infrastructure and Bitdeer were down about 4% to 5% at midday. The source said this may reflect operations that are less focused on Texas.
Riot Platforms was an exception. It rose 14% after announcing a $28 billion, 15-year lease deal with a frontier AI lab for its Corsicana campus in Texas.
Riot said it expects more than $2 billion in average annual net operating income at full deployment. It also said it sold 20,264 Bitcoin in the first nine months of the year, raising $1.5 billion for data center development, and ended the quarter with 2,418 Bitcoin.
Oil, yields and economic data
Oil fell to its weakest level since before Labor Day, the source said. Brent crude also fell by a similar amount.
The 10-year U.S. Treasury yield fell 5.4 basis points to 4.895%. The 2-year yield fell 3.1 basis points to 4.583%.
The ISM Services index, a survey of service-sector activity, fell to 54.5 in October from 54.9. Economists had forecast 54.8. A reading above 50 shows expansion.
ADP said private-sector employers added 86,000 jobs in October. That was above the forecast of 69,000 and below September's 90,000.
Political comments after the vote
Vice President J.D. Vance wrote on X that the Iran war was the reason Republicans lost. He said: 'The reason we lost is the [Iran] war.'
Senate Democratic leader Chuck Schumer also linked the war to the election result. He said: 'We are going to end the war.'
What was reported and what remains conditional
The price and market moves above were reported at specific times during the session on Nov. 4. They are not a full-day closing result.
The explanation that fading election uncertainty drove the rebound is an analyst view reported by CoinDesk, not a confirmed cause.
The possible new Bitcoin buying by Strategy depends on STRC reaching and holding $100, as described in the source. The source did not confirm that any new issuance had yet taken place.
What happens next
The official U.S. jobs report is due on Friday, the source said. Economists expected 65,000 jobs added in October.
That report may affect bond yields and market expectations, according to the context in the source. The source also noted trader expectations for Federal Reserve rate decisions beyond December.
Sources
Newisty Editorial Team covers technology, cryptocurrency, digital products, online platforms, developer tools and the wider digital economy. Our content is researched from official sources, company announcements, public documentation, market data and other primary or reputable sources. Articles are reviewed and edited before publication for clarity, accuracy and useful context.