Crypto Short Squeeze Wipes Out $2.7 Billion As Bitcoin Surges Toward $70,000

A massive short squeeze in cryptocurrency markets has cleared out nearly $2.7 billion in bearish positions, forcing traders to close their positions as Bitcoin surged toward the $70,000 mark.

The event was triggered by the U.S. Treasury's announcement of expanded longer-term bond buybacks, which loosened financial conditions and made risk assets like cryptocurrencies more attractive.

Total liquidations across the crypto market reached approximately $3 billion over 24 hours, affecting more than 172,000 traders, with shorts accounting for roughly 92% of the wipeouts.