Bitcoin surged to $81K after a seven-week low, liquidating $380M in shorts within one hour amid post-election market relief.
DeFi & Yields ·
Bitcoin climbed to $81,000 after rebounding sharply from a seven-week low of $75,600 reached following the US midterm elections, according to CryptoPotato. The swift price recovery triggered substantial liquidations across leveraged positions, with $380 million in short positions wiped out within a single hour. Over a 24-hour window, total liquidations across both longs and shorts reached $910 million, affecting more than 115,000 traders. Altcoins participated in the rally, with Ethereum rising over 6% daily and XRP moving past $1.30.
Market observers attributed the recovery to the resolution of electoral uncertainty, as Democratic gains in Congress removed a source of near-term volatility that had initially sparked the decline. The momentum coincided with gains in traditional markets, where the S&P 500 and Nasdaq each climbed roughly 2%. The largest single liquidation order involved an ETH/USDT position worth $38 million on HTX exchange.
What remains unclear is whether the current price level represents sustainable support or whether additional volatility may test these levels as traders reposition following the mass liquidation event.