BTC/USD recovers from $75,600, with bulls eyeing a break of $82,000.
Bitcoin regained $80,000 after a brief dip into the support range near $75,000, with most of the rally happening after the midterm elections. While a victory of the Democrats was expected, the markets found relief once the actual results came out and the uncertainty dissipated.
The Democrats now control both the House and the Senate, but Bitcoin’s recovery was not necessarily driven by the political aspect; instead, crypto investors welcomed the calm after the storm. Risk assets perform better in quiet times, without many surprises. And going forward, with Trump’s power diminished, we probably won’t have another war or another set of tariffs.
There’s another reason why the calm brought by the election outcome outweighed the fact that Trump’s party lost: most of the ideas and promises touted by Trump did not come to fruition. When he was elected, the entire crypto market shot up on the expectation that the US would become the “crypto capital of the world”. But the reality is that the government did not start buying Bitcoin, the Clarity Act failed, and actually not much has changed. The environment is indeed a lot more crypto-friendly than before, but fundamental reforms did not materialize.
Stocks in the AI sector have been losing steam lately, which can help Bitcoin going forward. If the AI trade doesn’t hug as much of the existing capital, money may start to pour back into crypto. Oil prices have been falling, possibly on expectations that a Congress controlled by Democrats could temper Trump’s appetite for military action in Iran.
Chart Analysis – BTC/USD
Bitcoin’s pump after the midterm elections is good, but a move above $82,000 would be better. The level rejected the price several times, and its importance cannot be overlooked, even more so now that the 50-day Moving Average (blue) is hugging the horizontal line very closely.
Speaking of Moving Averages, all three are indicating an uptrend for the first time since September 2025. The 50-day MA (blue) is above the 100-day MA (yellow), and both are above the 200-day MA (red). Although we cannot call this an uptrend just yet, it’s a good indication that a bottom may be in.
The level at $75,000 remains support for now, even if the price only reached as low as $75,600. Resistance sits at $82,000, and we will need to see a full daily close above it for increased chances of a breakout. The Non-Farm Payrolls report is due later today, and it can have a strong impact on the crypto market, so caution is recommended.
Bitcoin recovers above $80,000 after the midterm elections, but a daily close above $82,000 is needed to strengthen the bullish outlook.
