Bitcoin Surges Past $85K as Crypto Market Rebounds
Crypto markets rebounded on Friday, with the total market capitalization rising to $3.042 trillion as Bitcoin reclaimed the $85,000 level. The price of Bitcoin reached $85,969.40, up around 2% over the past 24 hours, with trading volume of $38.69 billion. Bitcoin accounted for 56.8% of the market, compared to 10.9% for Ethereum, according to CoinGecko data.
The cryptocurrency's advance above $85,000 was accompanied by a sharp move across derivatives markets, with short sellers facing significant liquidations. Over $200 million in short positions were liquidated over the past 24 hours, said Riya Sehgal, research analyst at Delta Exchange. This was despite roughly $150 million in Bitcoin ETF outflows, indicating that the latest advance was driven more by technical momentum and market positioning than renewed institutional flows.
Ethereum also traded higher on Friday, although its gains were more modest than Bitcoin's. Ether was priced at $2,719.61, up 0.2% over the past 24 hours, with trading volume of approximately $15.60 billion. The asset traded between $2,674.08 and $2,744.54 during the period.
The next major catalyst for crypto markets could come from U.S. economic data, with investors watching jobs figures for their potential impact on Treasury yields and the dollar. 'Attention now shifts to U.S. jobs data, particularly its impact on Treasury yields and the dollar, which could determine whether this crypto rebound develops into a more durable move,' said Sehgal.