U.S. stocks surged Wednesday after Democrats swept the midterm elections, with the Dow jumping more than 1,500 points, or roughly 3%, its biggest gain since April 2025.

Bitcoin (BTC) joined the rally, climbing 5.7% to around $80,500. But the celebration was short-lived.

The sharp reversal on Thursday drew comparisons to the market crash triggered by President Donald Trump’s “Liberation Day” tariffs in April 2025.

Related: Democrats’ sweep sends Trump-linked assets reeling

Wall Street reverses as Bitcoin loses ground

On Nov. 5, U.S. stocks plunged as investors reassessed artificial intelligence (AI) spending and potential scrutiny of data centers under a Democratic-controlled…