Bitcoin Struggles Near $87K as CFTC Moves on New Crypto Rules
Bitcoin’s price saw significant volatility over the weekend, failing to break through the $87,000 mark despite early gains. The cryptocurrency surged from around $85,200 on Sunday to a peak of $86,969 before reversing sharply. Two subsequent attempts to reclaim the $87,000 level were unsuccessful, leading to a drop to just above $85,200 by Monday afternoon. The erratic price swings resulted in over $109 million in liquidations, with short positions accounting for $62 million of the total.
Analysts remain optimistic about Bitcoin’s long-term prospects, citing October’s historical bullish trend. However, the recent price action suggests cautious sentiment among traders. The broader cryptocurrency market also experienced liquidations, with short positions totaling $122 million and long positions at nearly $116 million.
The Commodity Futures Trading Commission (CFTC) announced steps toward new crypto regulations, seeking public feedback on proposed rulemaking. CFTC Chairman Michael S. Selig described the move as a critical effort to solidify the U.S. as a global leader in crypto. The public has 60 days to provide input, which will inform future regulatory actions.