Bitcoin Slumps to $75,568 as Wall Street AI Fear Wipes $2.5T
Key Summary
Bitcoin hit an intraday low of $75,568 on Thursday before recovering slightly to $76,830.67 as a severe technology selloff spilled across major digital asset trading venues. According to CoinGlass order-book metrics, the market rout liquidated over $1B in leveraged positions across 201,000 trading accounts in twenty-four hours. Wall Street equity indices suffered heavy damage alongside crypto assets, as the Nasdaq dropped 4.9% and the S&P 500 fell 3.2%. Market commentary firm The Kobeissi Letter reported that $2.5T in equity valuations evaporated during the session while the Cboe Volatility Index spiked over 70%. The capital flight stems from rising political opposition to data centers following midterm election results, forcing funds to unwind speculative risk exposure across both equities and crypto markets.
Key Bullets
- Bitcoin fell to an intraday low of $75,568 Thursday morning after a massive technology selloff triggered over $1B in liquidations across crypto exchanges.
- Data compiled by CoinGlass showed that bullish traders accounted for $926.8M in liquidations, while bearish positions represented $118.2M.
- Wall Street experienced steep losses as the Nasdaq Composite dropped 4.9% and the Cboe Volatility Index surged more than 70% during the session.
- Market intelligence firms noted that 46 local ballot measures across the US favored tighter restrictions on artificial intelligence data centers.
Derivatives Liquidations Exceed $1B on Exchanges
Bitcoin dropped to $75,568 on Thursday morning before recovering slightly to trade at $76,830.67, driven by a wave of forced liquidations across major cryptocurrency exchanges. According to CoinGlass tracking data, total liquidations surpassed $1B over a twenty-four-hour window, catching more than 201,000 leveraged traders off guard.
Long positions bore the brunt of the volatility. Bullish accounts accounted for $926.8M in forced closures, leaving short sellers with just $118.2M in liquidations. Bitcoin positions represented $264.2M of the total flush, while Ethereum liquidations hit $165.3M and Solana traders lost $33.5M. Exchange order books absorbed the shock as liquidity thinned out rapidly.
The single largest casualty of the cascading margin calls was a $10.94M Ethereum long position hosted on Binance. Traders scrambled to deleverage.
Wall Street Tech Stocks Erase $2.5T The
crypto market selloff mirrored a historic reversal in traditional equities. The Nasdaq Composite plummeted 4.9% into correction territory, sitting more than 10% below its recent October record. The S&P 500 dropped 3.2% while the Dow Jones Industrial Average shed over 1,100 points.
Analysis from
The Kobeissi Letter estimated that roughly $2.5T in value vanished from US stock markets during the session. The Cboe Volatility Index surged more than 70% as fear gripped institutional desks. The speed of the liquidation wave reflected excessive leverage colliding with a sudden deterioration in risk sentiment rather than any immediate failure in underlying corporate balance sheets.
Political Pushback Threatens Infrastructure Spending
The equities rout followed voter backlash in midterm elections that raised fresh regulatory questions surrounding artificial intelligence capital expenditures. Data compiled by Ballotpedia showed that 46 of the 47 local ballot measures targeting data-center developments across the US favored stricter zoning limits.
Investors began pricing in tighter political oversight, soaring construction expenses, and local resistance that could impede long-term demand for specialized computing hardware and power grids. Nvidia shares dropped below $200 for the first time since August, and the Nasdaq 100 faced its steepest single-day decline since April 2025.
Citrini Research noted that expectations for artificial intelligence capital outlays may have reached a cyclical peak. The tight correlation between technology equities and digital assets confirmed that institutional funds continue treating cryptocurrencies as high-beta risk proxies during macro downturns.
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