Crypto alarm clock: Bitcoin is recovering handsomely after Trump's punishment in the elections
The Democrats are celebrating and that is not what the crypto market had hoped for. Yet Bitcoin and altcoins are showing a rock-solid recovery.
The dissatisfaction with Donald Trump and the American economy turned into a severe punishment in the midterm elections. The Democrats won both houses of Congress in the midterms, and this caused a spectacular crash in Bitcoin (BTC).
But the digital currency has recovered just as quickly and that makes for nice figures in the altcoin market.
It soon became clear last night that the Democrats had made a huge profit in the midterm elections in the United States. The Republicans lose their majority in both the House of Representatives and the Senate.
A 'blue wave' was already expected (blue is the color of the Democrats), but it has turned into more of a 'blue tsunami'.
Shortly after midnight, when the first polling stations closed, Bitcoin began to fall. In about four hours, the price dropped by 2.7 percent, from $77,800 to a low of $75,700.
That is also the lowest level since 16 September. Investors fear stricter crypto rules, but Bitcoin has quickly made a 180-degree turn. The graph is now back at the same level as last night.
Wall Street has already made up some of the losses, and that seems to be mainly due to the fact that the elections are now behind us. Yes, the result creates some doubt (for example for the AI investment cycle), but there is also a great deal of uncertainty now that the elections are over.
Bitcoin has now bounced for the umpteenth time from the same support level and can now prepare for a further rise, according to analyst Roman. $80,000 is an important level to break, according to him.
At the time of writing, the BTC price is at $77,711, 1.65 percent higher than 24 hours ago. 69,204 euros are now paid for the largest crypto.
The rest of the crypto market has also had a turbulent night. But most coins, like Bitcoin, are now on green digits.
Ethereum (ETH) is doing slightly better with gains of 2.18 percent, Ripple (XRP) is up 2.15 percent, and Solana (SOL) is up 1.46 percent. Among the big boys, Zcash (Zec) in particular catches a lot of eyes with an increase of 10.78 percent.
The smaller coins Pump.fun (PUMP) and LayerZero (ZRO) also stand out with gains of 9.46 percent and 8.12 percent.