• Bitcoin price rebounded, leading to nearly $100 million in short positions being liquidated across all cryptocurrencies in the past 24 hours.
• Around $36 million worth of short Bitcoin positions were liquidated during the same period, with nearly $22 million liquidated in just the past four hours.
• The Bitcoin price surge followed the release of a US government employment report showing higher-than-expected unemployment, which some traders interpreted as a bullish signal for crypto assets.
Bitcoin‘s price has rebounded, leading to large liquidations of short positions. Traders betting on Bitcoin’s price declining have faced significant losses.
Bitcoin Price Jumps 5% In 24 Hours
In the past 24 hours, Bitcoin’s price has increased about 5%, trading around $61,900. This comes after Bitcoin dropped below $57,000 earlier this week. The recent gains have led to liquidations of nearly $100 million worth of short positions across all cryptocurrencies.
Massive Short Squeeze
According to data from CoinGlass, around $36 million worth of short BTC positions have been liquidated in the past 24 hours. In just the past four hours, around $22 million in BTC shorts have been wiped out. While long positions have also seen losses, short positions have taken the biggest hit.
Market Factors Lead To Volatility
Factors like conflict in the Middle East and outflows from Bitcoin ETFs have made cryptocurrencies more volatile recently. However, high US unemployment reported today makes it more likely the Fed will lower interest rates, which could boost crypto demand.
Conclusion
Bitcoin’s price rebound has been a positive development for bullish traders. But continued uncertainty means the market likely faces ongoing volatility in the short term.
