BTC’s Jump to $104K Results in $400M of Short Liquidations, Laying the Groundwork for Additional Bullish Momentum.

Bitcoin’s surprising rally has taken traders by surprise, sparking a significant wave of short position liquidations.

The price of Bitcoin surged by over 3% within a 24-hour period, reaching $102,500 and even briefly touching $104,000, the highest it has been since January 31. This surge comes on the heels of a major trade deal announcement between the U.S. and the U.K. by President Donald Trump, alongside record-breaking inflows into Bitcoin spot ETFs, which surpassed $40 billion.

As Bitcoin led the charge, the broader crypto market followed suit, with altcoins rising by 10% and pushing the total market capitalization of cryptocurrencies to $1.14 trillion, its highest level since March 6, according to data from TradingView.

This strong upward movement has resulted in nearly $400 million worth of short positions being liquidated over the past 24 hours—marking the largest single-day liquidation since at least November. Additionally, $22 million in long positions were also wiped out during this period.

The swift liquidation of short bets suggests that sentiment in the market was heavily tilted towards the downside, and with these positions being forced to close, it creates a window of opportunity for further bullish momentum, potentially fueling even more upside in the coming days.