Bitcoin Blasts Through $86K Barrier Amid Oil Price Drop

Bitcoin's price surged above $86,000 on Monday as US stocks rose and oil prices dipped. The cryptocurrency gained nearly 6% in a single day, reaching a new 33-week high of $86,332 on Bitstamp.

The gains came despite Sunday's weekly close at $81,120, which was Bitcoin's highest since May. Oil prices continued to drop from last week, with WTI crude oil falling as low as $91.59 per barrel on Monday.

Analysts pointed to signals of diplomatic negotiations between the US and Iran to resume, as well as a report that the US planned to extend its trade deal with China by six months.

Crypto short liquidations totaled almost $800 million in 24 hours, but analysts remained optimistic about Bitcoin's price strength. The Kobeissi Letter described crypto as being 'in a new bull market', citing 50% gains for BTC/USD over two months.