Bitcoin fell below $70,000 at about three o'clock this morning UTC and touched $68,943 on Binance. In the four hours around the break, traders had $622 million of bets closed out against them, and nearly nine-tenths of that money ($549 million) was betting the price would rise. It is $67,992 as we write, down 7.5% in a day and lower than any daily reading we have taken since August.

On Thursday Nvidia's board accepted Jensen Huang's resignation as CEO, effective immediately, and put CFO Colette Kress in charge for now. Traders sold crypto along with the AI stocks. Bitcoin fell to about $71,300, and $750 million of bets were wiped out over the day, $634 million of them on a rise.

We can find no news behind the overnight leg. The people who had rebuilt their bets on a bounce after Thursday were sold out of them in turn, and this second flush was faster than the first and more one-sided.

Who was buying? Not the funds. Investors took $299.8 million out of the US spot bitcoin ETFs on Wednesday, the fifth day in a row of money leaving, on Farside's figures.

Not Strategy either. Michael Saylor's company paid $75,456 a coin on average, so it is about $7,500 below its cost on each of its 850,364 coins. Strategy says index funds hold about 13 million of its shares, 3.1% of the company, and they have until 30 November to sell them.

If you hold bitcoin, you're now below the price the two biggest buyers of the last two years paid, and both have stopped buying. What took the price down overnight was forced selling by people who were betting on a rise. Thursday's flush didn't clear them out, and we don't know yet whether this morning's did.

Kalshi is the US prediction market where you buy a contract on whether something happens. Bloomberg reported it is in talks to raise money at a $65 billion valuation, weeks after it closed a round at $40 billion.

Polymarket, the rival built on crypto, confirmed to Reuters that it laid off staff and ended contractor deals from 4 November. Over the past 30 days Kalshi handled about $17.7 billion of bets to Polymarket's $5.9 billion, on DefiLlama's count.

Kalshi also ended Donald Trump Jr.'s advisory role after his firm, 1789 Capital, led Polymarket's $1 billion raise. And on Wednesday Louisiana's attorney general Liz Murrill sued Kalshi, Robinhood, Coinbase and Gemini for taking event bets in her state. Kalshi sued the state back the same day.

If you use Polymarket, the venue built on crypto is now the smaller one, and a state has just sued the whole sector.

The US Justice Department says it has seized $1.2 billion of digital assets connected to the Binance hack, the $6 billion theft it blames on North Korea. "North Korea's government bankrolls its rogue regime and illicit weapons program through cryptocurrency theft," said M. Scott Proctor, a deputy assistant attorney general for national security.

Binance says it has covered 100% of what its users lost, and on Wednesday it published a new proof-of-reserves snapshot, its public tally of what it holds for customers. It has not said where the money came from.

The same day the department said a darknet drug sweep, Operation TorNado, took $234 million in crypto and cash and arrested 354 people.

If you kept coins on Binance, the exchange covered your loss, and about a fifth of the largest theft on record has been traced and taken back. Someone whose seed phrase is stolen gets neither.