Bitcoin Soars Nearly 8%, Triggers Record Short Liquidations
The cryptocurrency market saw a sudden surge on August 19, pushing Bitcoin up nearly 8% and triggering the largest wave of short liquidations in records going back to 2021. Over US$1 billion in Bitcoin short positions were liquidated in about an hour, with CoinGlass data showing that this was one of the biggest moves since early June.
The rally spread across digital tokens, with Ether jumping 16% and climbing a further 1.5% in Asia on August 20 to US$2,250. The White House meeting between US President Donald Trump and crypto executives from firms including Coinbase Global, Payward, and Blockchain.com Group Holdings added to optimism around an industry-friendly regulatory framework for digital assets.
US Treasury Secretary Scott Bessent made a fresh attempt to rein in long-term borrowing costs from multi-year highs, sending Treasury yields and the dollar lower. This improvement in the backdrop contributed to higher-risk assets like Bitcoin.