Bitcoin Surges on $1 Billion in Short Liquidations, Ethereum Rises Sharply

The cryptocurrency market has staged a strong rebound in recent days, with Bitcoin (BTC) surging over 8% to approach $70,000 and recording its largest single-day gain since March. This price surge was triggered by short liquidations exceeding $1 billion in just one hour.

The sudden upward movement caught many traders off guard, particularly those who had taken on bearish positions in the market. The large number of shorts that were forced to cover further accelerated the rally and created a classic short squeeze.

The U.S. Treasury's expansion of long-term bond buybacks has provided fresh support for risk assets, with declining U.S. dollar and Treasury yields also contributing to the positive momentum. Additionally, improving expectations for U.S. digital asset regulation have boosted investor confidence.