Bitcoin crashes 6% to $75,463 as stocks erase gains — SkimNews
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- Bitcoin fell 6% to $75,463, its lowest level since Sept. 16, breaching key support near the 50-week simple moving average at $75,733.
- US stocks reversed post-midterm election gains, with the Nasdaq Composite dropping 4.2% and the S&P 500 falling 2.7% amid a tech-led sell-off.
- Crypto liquidations totaled nearly $500 million in the first hour of US trading, with 24-hour liquidations approaching $850 million, according to CoinGlass data.
- Rekt Capital observed that Bitcoin’s current price action mirrors its May 2023 behavior, which preceded a breakdown to new macro lows below $58,000 in June.
- Jordan Watson of Tandem Investment Advisors warned that post-election equity gains should not be seen as an 'all-clear signal,' citing potential policy implications from the new Congress.
- Mohamed El-Erian questioned whether the political shift would meaningfully slow the tech sector, noting its outsized role in supporting broader market performance.
Why it matters: The simultaneous drop in Bitcoin and tech stocks reveals tight coupling between crypto and high-growth equities, where a $500 million crypto liquidation wave and a 4.2% Nasdaq fall signal that policy uncertainty is forcing rapid deleveraging. This undermines assumptions that crypto had decoupled from traditional risk assets.
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