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Do not despair, we need Obama right where he is. He will not be able to do anything since the Republican hold the House. And his popularity will only drop with the people (I actually think that there will be calls for his impeachment before 2012)and 23 Democrat Senators are up for reelection but only 10 Republicans (You can read the names at the link below) which means that it may be possible to have a filibuster free Congress with veto override ability and a Republican President.
Think of it, the ability to overhaul or get rid of the Tax Code, the IRS, Affirmative Action,Amend the Constitution, get rid of HUD, Education, Reform the Immigrations system, and a lot more. http://en.wikipedia.org/wiki/United_States_Senate_elections,_2012