Bitcoin traded near $80,500 on Tuesday, holding above the $80,000 support level as investors await the Federal Reserve's policy decision and November midterm elections. The asset ranged between $79,400 and $80,800 during the day and was up 0.3% over 24 hours by mid-afternoon Eastern time.
Bitcoin fell below $80,000 on Monday as investors cut risk exposure amid concerns about AI-sector valuations and higher oil prices. Spot Bitcoin ETFs have shed money. The asset has stayed mostly within a $79,000 to $81,000 band this week.
Bitcoin's all-time high sits near $126,000, set in October 2025. The price is roughly 30% below where it was a year ago.
The Federal Reserve's policy meeting runs October 27 and 28, with the decision due Wednesday. The central bank has held its target range at 3.75% to 4% after raising it in September and has signaled another increase may be needed by year-end. A hawkish surprise would likely push Bitcoin back toward $80,000 or below. A hold or softer tone could give buyers room to push toward the $88,000 range seen earlier this fall.
The November 3 midterm elections add another layer. Prediction markets have favored Democrats winning both chambers of Congress. TD Cowen analysts warned the results could stall the CLARITY Act for two years. Prediction markets gave Democrats a 90% chance of winning the House and 62% of winning the Senate, which TD Cowen called the most negative for Bitcoin. A Republican sweep was viewed as the best path for crypto. The bill had stalled after a failed Senate cloture vote in September, with ethics provisions and stablecoin yield dividing lawmakers.