Bitcoin Surges 25% in Best Week Since March 2023
Bitcoin has seen its best week since March 2023, surging nearly 25% in price to reach over $79,240. According to Rachel Lucas, an analyst at BTC Markets, the U.S. Treasury's decision to double its purchases of long-term bonds led to a decline in bond yields and increased investors' risk appetite.
The move also sparked a short squeeze, with traders liquidating billions of dollars in bets on Bitcoin's decline. Coinglass reports that over $2.5 billion in short positions were closed out, while $4.5 billion in bets on all crypto assets were liquidated.
Institutional investors have also returned to the market, with U.S.-traded spot Bitcoin ETFs attracting over $1 billion in inflows this week. However, some analysts are cautioning against getting too bullish, noting that Bitcoin is still 40% below its all-time high of $126,000.