Bitcoin Steadies Near $78K as Binance Hack Aftermath and US Midterms Loom

Bitcoin is trading near $78,500 this Monday morning as markets absorb the fallout from the largest cryptocurrency exchange hack on record. Crypto prices stabilized after Binance disclosed a $6.3B breach last week, with BTC dipping briefly toward $76,300 before recovering over the weekend without sustained panic selling. Bitcoin's dominance climbed to 60% of total market cap, while Ether held firmer ground and Chainlink fell 4.1%.

Institutional investors remained cautious even as prices steadied. Spot Bitcoin ETFs recorded $643M in net outflows on October 30, the largest single-day exit of the month, while spot Ether ETFs shed approximately $156M the same day, suggesting big money has yet to return in size. Binance began reopening withdrawals in phases over the weekend, with Bitcoin, Ether, Solana, XRP, and major stablecoins all live by Sunday afternoon, and net withdrawals settled at roughly $3.64B in an orderly rather than panicked fashion.

Strategy Posts Record $21B Bitcoin Gain in Q3

Away from the exchange drama, Strategy Inc. reported its strongest quarter ever. The company, formerly known as MicroStrategy, posted a $20.91B fair-value gain on its digital asset holdings for the three months ended September 30, driving operating income to $21B and diluted EPS to $44.75, far above the analyst consensus of $13.86. Strategy now holds 848,517 Bitcoin, representing roughly 4% of all BTC that will ever exist, with those holdings valued at approximately $70.8B at quarter's end.

With one eye on Washington, crypto traders are bracing for Tuesday's US midterm elections, where all 435 House seats and 35 Senate seats are contested. Prediction markets assign Democrats roughly a 70% chance of winning both chambers. The result carries direct stakes for digital asset regulation, as the stalled CLARITY Act crypto market structure bill awaits a new congressional calendar. Friday's nonfarm payrolls report and a possible December Federal Reserve rate hike, with two officials already favoring a move, add further macro pressure to a market navigating resistance near $80,000 and support around $76,000.