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Bitcoin Price Surges to $79,000 as Short Squeeze and ETF Demand Fuel Rally

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Bitcoin's price has surged to $79,002.41, just below the coveted $80,000 mark, as traders rush to reposition following a violent short squeeze.

The rally is driven by both a short squeeze and building ETF demand, according to Fortune, which reports that traders positioned for bitcoin to stay below $67,000 got their trade blown up in a single afternoon due to a Treasury buyback.

Bloomberg noted that BTC touched a three-month high of $80,000, while CNBC flagged the biggest three-day rally since 2023, as institutional demand and short-covering reinforce each other for now.

The Fear & Greed Index reading of 65 indicates that sentiment is warm but not yet at extreme levels, with bitcoin's dominance standing at 59.25% of a roughly $2.665 trillion total crypto market cap, which fell 4.28% over 24 hours despite BTC pushing higher.

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