Bitcoin
October 2, 2026
Bitcoin Reclaims $86K as $90K Odds Hit 66% and Utexo Plans USDT Launch
- Bitcoin fell nearly $2,000 as exchanges liquidated over $400 million in leveraged crypto longs within an hour
- US-linked wallets moved $103 million in BTC and BNB, sending roughly 834 BTC to Coinbase Prime without a confirmed sale
- Bitcoin gained after the last three US midterms, though its 2018 post-election plunge shows a recovery can take time
Bitcoin price fell below $84,000 as leveraged positions unravelled, while transfers from US government-linked wallets drew fresh attention to a concern about potential selling. With US midterm elections approaching, traders also have a historical pattern to consider. Bitcoin finished higher a year after each of the last three midterms. But the path between election day and those gains was sometimes punishing.
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Bitcoin Price Drop Triggers $400M in Long Liquidations
Bitcoin dropped nearly $2,000 during the sharp selloff. At press time, the world’s largest cryptocurrency was trading at $84,211.36. Exchanges liquidated $546 million in leveraged crypto longs within the past 24 hours.
Long positions accounted for 97% of the $415.33 million total liquidations during that window. The figures cover the overall crypto market and not just Bitcoin liquidations.
The concentration shows how heavily the losses fell on traders expecting prices to rise. When collateral becomes insufficient, exchanges close leveraged positions automatically. Those closures can add selling pressure while prices are already falling.
US Government Bitcoin Transfers Draw Attention
Several on-chain trackers revealed that US government-linked wallets moved 833.6 BTC, valued at $71.56 million, to Coinbase Prime. Another 40,285 BNB, worth approximately $31.63 million, passed through several addresses before reaching an unlabeled wallet.
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The wallets moved about $103.19 million in total, sending Bitcoin to Coinbase Prime while the BNB passed through several addresses. Coinbase Prime handles both custody and trading, so the Bitcoin deposit could have served either purpose. There’s no confirmation of a sale or evidence linking the transfers to the price drop.
US Midterm Elections Bring Bitcoin’s Record Into Focus
CryptoQuant contributor XWIN Japan calculated that Bitcoin gained 24.5%, 44.9% and 92.3% in the 12 months following the 2014, 2018 and 2022 midterms, respectively.
The 2018 result comes with a notable complication. Bitcoin first fell 45.5% in the month after the election before finishing the following year higher. Three election cycles offer limited evidence for predicting another rally.
Clearer election results could ease political uncertainty, but borrowing costs, buying demand and crypto regulation still matter. Today’s liquidation burst shows how quickly leverage can overwhelm a longer-term bullish argument. Investors looking toward November will need to watch whether buyers absorb the selling, along with any further movement from the tracked government wallets.
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