Bitcoin slides to $76,000 as tech rout triggers crypto liquidations

What happened

Bitcoin fell sharply on Thursday, dropping from above $80,800 to roughly $76,000 as a selloff in technology stocks spread into cryptocurrency and forced out traders who had borrowed money to bet on further gains. Bitcoin Magazine, citing Bitcoin Magazine Pro data, said the decline was about 5% and took the price to a low near $76,100 shortly after the US stock market opened.

CryptoSlate reported an intraday low of $75,568 and said bitcoin had recovered to about $76,830 by the time of its press time. The move erased a rebound that had carried the price back above $80,000 overnight. According to Bitcoin Magazine, bitcoin had held near $80,000 through Wednesday before a short squeeze pushed it past $80,500 early Thursday, only for more than $4,000 to come off within about two hours of the opening bell.

The trigger came from equities. CryptoSlate described the Nasdaq Composite falling 4.9% into correction territory, while Bitcoin Magazine cited CNBC in reporting a drop of as much as 3.9%, leaving the index 10% below its record close. Chip and artificial-intelligence names absorbed the heaviest losses, with Nvidia and Broadcom each down about 5%, Tesla off around 9%, Qualcomm down 9% after a weak outlook, and neocloud companies CoreWeave, Nebius and IREN falling between 9% and 13%.

Why it matters

Leverage amplified the move. Bitcoin Magazine reported that roughly $370 million in leveraged crypto positions were liquidated in about an hour as bitcoin broke through $77,000 and ether slipped below $2,300, with most of the positions long. Wider tallies circulating on X put long liquidations nearer $400 million over the same hour. CryptoSlate, citing CoinGlass, reported about $1 billion in liquidations over a 24-hour window affecting more than 201,000 traders, of which $926.8 million, or nearly 89%, were bullish positions. The same data put bitcoin liquidations at $264.2 million, ether at $165.3 million and solana at $33.5 million, with the largest single liquidation a $10.94 million ether long on Binance. The two figures cover different timeframes.

The episode underlined how closely bitcoin has traded alongside the AI-heavy technology complex. Bitcoin Magazine noted that many miners have sold bitcoin to fund AI data centers, meaning the same political risk now applies to both. CryptoSlate reported that the Kobeissi Letter estimated about $2.5 trillion had been erased from US stock market valuations and that the Cboe Volatility Index had risen more than 70%. The firm attributed the speed of the collapse to excessive leverage meeting an abrupt shift in sentiment rather than to deteriorating corporate fundamentals.

What the data shows

Macro data offered little support. Bitcoin Magazine reported, citing Reuters, that initial jobless claims fell to 189,000 last week, matching July's level, the lowest since 1969; economists had expected 196,000. Fund flows were a modest offset: US spot bitcoin ETFs took in a net $74.6 million on Wednesday, ending a three-day run of outflows, led by Fidelity's FBTC while BlackRock's IBIT saw money leave.

In equities, Bitcoin Magazine reported that US stocks shed $2.3 trillion in market value within the first hour of trading, with the Russell 2000 down 2.5%. CryptoSlate reported the S&P 500 down 3.2% and the Dow Jones Industrial Average off more than 1,100 points, while Bitcoin Magazine cited a roughly 2% decline for the S&P 500.

Background

The selloff followed Tuesday's midterm elections. Bitcoin Magazine reported that investors are pricing in a Democratic-controlled Congress, with traders fearing new limits on data center construction; UBS analysts estimated, according to Reuters, that around 30% of US data center capacity additions expected in 2028 could be at risk from construction pauses. CryptoSlate reported that 46 of 47 local data-center-related measures decided across the US in 2026 favored tighter restrictions, according to Ballotpedia, though some votes were advisory. Selling began in Asia, where South Korea's Kospi closed more than 5% lower as Samsung and SK hynix fell.

CryptoSlate also reported that Nvidia dropped below $200 for the first time since August and that the Nasdaq 100 fell about 5.5%. Economist Mohamed El-Erian questioned whether the rest of the US economy could keep its momentum if technology investment slowed, and cautioned against assuming Democratic control of Congress would necessarily produce a large slowdown in the sector. Citrini Research argued that expectations for AI infrastructure spending may have peaked as investors reassess whether projected returns justify the capital required.

What to watch

Attention now turns to whether bitcoin can hold the $75,000 area, which Bitcoin Magazine noted held as support on election night and several times since August; a break would leave the price near its lowest levels in months. The next scheduled tests are Friday's October jobs report, October CPI data on Nov. 10 and the Federal Reserve's Dec. 9 decision. Bitcoin Magazine also noted that House Democrats are drafting their own market structure bill ahead of taking over committees in January.

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