Bitcoin Enters November Below $78,000 as Binance Hack and ETF Outflows Weigh on Crypto Markets

Bitcoin closed October with a 7.32% loss, ending near $77,000 to $77,558 and snapping three consecutive months of gains in what has historically been a bullish "Uptober" period. The drop came amid two compounding shocks: a record $6.3 billion hack of the Binance exchange, attributed by the FBI to North Korea's Lazarus Group, and $643 million in bitcoin ETF outflows that added further selling pressure.

As of November 1, bitcoin was trading around $77,370 to $77,530, with analysts flagging the absence of a meaningful futures premium as a bearish technical signal. The bitcoin futures curve was paying roughly 5.6% annualized across all maturities out to September 2027, barely above dollar money-market rates, suggesting institutional appetite remains subdued. Key price levels to watch are $77,370 and $78,134 on the downside and upside respectively, with $78,000 and $80,000 serving as broader recovery thresholds.

Crypto markets are also bracing for a politically sensitive week ahead of the November 3 U.S. midterm elections, which analysts say will shape crypto legislation and regulation for the next two years. Industry super PACs, led by Fairshake, spent roughly $170 million in the midterm cycle, with the majority directed toward Republican candidates. Ethereum was trading at $2,268 and XRP at approximately $1.25 at the start of the month. Options activity in Coinbase shares for the November 6 expiry, with strikes clustering around $126 puts and $142-$143 calls, reflected the uncertainty across the broader crypto complex.