Prediction markets are signaling a strong possibility for Democrats to regain control of the House in the 2026 midterm elections, with a 78% chance according to platforms like Polymarket and Kalshi. Meanwhile, Republicans are projected to maintain a 66% likelihood of holding the Senate. Despite President Trump's approval rating falling to the high-30% range, structural advantages in key districts still favor Republicans, as noted by models such as Cook's House ratings. However, early modeling and betting platforms currently give Democrats a slight edge.