Key Highlights
- BTC surged past $74,000 on Monday, marking its strongest level in six weeks
- Approximately $344 million in liquidations occurred, with shorts accounting for 83% of the total
- Bitcoin ETFs recorded $767.3 million in cumulative net inflows throughout last week’s five trading sessions
- Market watchers identify $73,000–$74,000 as critical resistance, with potential for $80,000 if buying persists
- Major institutional player Strategy acquired 17,994 BTC, strengthening corporate demand
The leading cryptocurrency reached a six-week peak on Monday, breaking through the $74,000 threshold for the first time since the beginning of February. Trading at $73,892 during early Monday hours, Bitcoin posted a notable 3.4% daily gain.
This upward momentum followed a robust week for digital assets. BTC recorded a 6% weekly increase, maintaining strength even as traditional equity markets declined amid escalating crude oil prices.
The rally unfolded against a backdrop of persistent geopolitical instability in the Middle East, now entering its third week. President Donald Trump has urged international partners to support efforts to keep the Strait of Hormuz secure, a critical passage for global oil transport.
With crude oil hovering near $98 per barrel, concerns about inflationary pressure continued to weigh on traditional financial markets worldwide.
Massive Short Liquidation Triggers Price Spike
A substantial wave of forced short closures provided significant upward thrust. CoinGlass data revealed approximately $344 million in total cryptocurrency liquidations over the previous 24-hour period. Short positions represented roughly 83% of these forced closures.
When traders using leverage bet against price appreciation and face margin calls, the resulting forced buying can dramatically accelerate upward price movement.
Prior to Monday’s surge, Bitcoin had already reached approximately $72,800 on Sunday. Market analysts at Bitrue characterized this movement as a “solid relief bounce” from the mid-$60,000 territory.
Other major cryptocurrencies also posted gains during this period, with Ethereum advancing 4.7%, XRP climbing 3%, and Solana rising 4.8%.
Strong ETF Demand Provides Additional Support
Spot Bitcoin exchange-traded funds registered positive net inflows across every trading session last week, accumulating $767.3 million total. This performance extended the streak of weekly net inflows into Bitcoin ETFs to three consecutive weeks.
Ethereum-based spot ETFs similarly attracted capital, recording a weekly net inflow of $160.8 million.
Bitrue analysts attributed the price appreciation to robust ETF appetite combined with accumulation by institutional investors and large holders following the April 2024 halving event.
Corporate Bitcoin accumulator Strategy, previously operating as MicroStrategy, recently added 17,994 BTC to its holdings. Min Jung of Presto Research noted that market participants remain focused on whether major institutional buyers like Strategy will maintain their purchasing activity.
The $70,000–$71,000 price range represents crucial support territory for the current week. Meanwhile, the $73,000–$74,000 zone functions as a resistance barrier that, if decisively breached, could potentially propel prices toward the $80,000 level, according to market analysts.
Dominick John from Zeus Research suggested that a convincing break above $75,000 would likely trigger additional upward momentum.
Adziima of Bitrue emphasized that sustained buying pressure and continued ETF capital inflows would be essential to validate any extended bullish trend.
Bitcoin was last quoted at $73,892, representing a 3.4% daily increase, after touching an intraday peak of $74,336.
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