Key Highlights

  • Bitcoin traded between about USD 74,300 and USD 74,900 on November 9 and 10, 2026, its lowest level since August, after touching about USD 73,500 over the weekend.
  • More than USD 1 billion of leveraged long positions were liquidated, and Bitcoin sits nearly USD 10,000 below where it traded in late October.
  • Spot bitcoin Exchange-traded funds lost about USD 1.28 billion in the week to November 6, and iShares Bitcoin Trust (NASDAQ:IBIT) fell 1.31% to about 42.32 on November 9.
  • The decline came as US stocks posted their best day since April, a divergence driven by fears that a Democratic Congress will tighten crypto rules.

Why Bitcoin Is Lagging Stocks

On November 9 the S&P 500 jumped 2.35% and the Nasdaq Composite 2.74%, yet bitcoin was roughly flat to lower, depending on the time of measurement. The gap reflects crypto-specific policy risk. The midterm results gave Democrats control of both chambers, and investors expect closer oversight of digital asset markets, stablecoins and exchanges. That has removed part of the regulatory premium that supported prices earlier in the year. Ether, at about USD 2,112 to 2,121, has been similarly weak, and ether funds also saw outflows. Bitcoin funds lost about USD 201 million in the latest daily data. Some crypto equities bucked the trend, with miners such as CleanSpark rising sharply as investors bet on their pivot to AI Data Center hosting. Bitcoin has often moved with technology stocks, so the break is notable and suggests the selling is driven by domestic policy rather than by broad risk appetite.

How Leverage Amplified the Drop

Liquidations accelerate declines in crypto because many traders hold leveraged long positions on derivative exchanges. When prices fall through levels where Margin is insufficient, positions are closed automatically, which adds selling pressure and can push prices to the next cluster of stops. More than USD 1 billion of longs were cleared in this move, a sign that speculative positioning built up during the October rally has been flushed out. ETF flows matter too. IBIT alone saw about USD 1 billion of outflows in the week to November 6, and sustained redemptions force the fund to sell underlying bitcoin. The largest corporate holder, Strategy, kept buying but at a slower pace, and the Market Price has now slipped below its average cost basis of USD 75,456. Flushes of this kind tend to reduce the risk of another forced selling wave in the near term, since much of the excess leverage has been cleared.

What to Watch Next

Macro signals now point in different directions. Lower oil and a softer dollar would normally help risk assets, but futures pricing roughly 80% odds of a December Fed hike are a headwind for non-yielding assets. The October CPI report on November 10 is the immediate test. A soft reading could ease rate fears and stabilise flows into bitcoin funds, while a hot number would add pressure. Levels matter for sentiment: the weekend low near USD 73,500 is the nearest support, and a decisive move back above USD 80,000 would be needed to repair the trend. Policy signals from Congress on crypto market structure legislation will also shape demand, as will any change in ETF flows over the coming week.

Where Things Stand

Bitcoin's slide to its lowest since August reflects policy worries after the midterms, heavy ETF outflows and a leverage flush of more than USD 1 billion, even as equities rallied. IBIT has tracked the decline. The near-term direction depends on October CPI, Fed hike expectations and whether fund outflows slow, with the USD 73,500 weekend low as the level traders are watching.