Bitcoin Surges to June Highs Amid Market Rebounds
On Monday, Bitcoin’s price rose significantly, reaching its highest level since last week’s decline. Notably, it increased by 3.7% in the past 24 hours, surpassing $110,000, only about 2% lower than where it was in May. Ethereum’s Ether matched Bitcoin’s momentum with a 3.8% gain, bouncing back over $2,620. In a surprising twist, the native token SUI surged beyond that of many larger cryptocurrencies, also showing a 7% increase.
Leverage traders in Bitcoin were caught off guard, as over $110 million worth of short positions were liquidated within the hour, according to Coinglass data. Overall, around $330 million in crypto assets were liquidated that day, marking the most significant liquidations in a month, as shorts aimed to capitalize on declining asset prices.
In the traditional market sphere, the S&P 500 and NASDAQ appeared relatively stable, while crypto-related stocks rebounded in tandem with Bitcoin’s weekend recovery.
Caleb Franzen, founder of Cubic Analytics, described the market’s activity as a “peaceful gathering,” highlighting the steady growth evident in the continual rise of the lowest prices. He pondered whether there are signs of weakness, suggesting buyers will step in to support the trend.
The crypto market seems to be stabilizing, with Bitcoin dropping to just below $100,000. It’s likely that a new upward trend could emerge, particularly after $1.9 billion in liquidations across crypto derivatives occurred over the last week.
Nevertheless, on-chain metrics indicate increasing selling pressure from long-term holders, potentially overshadowing demand, analysts warned.
“Bitcoin is navigating a critical juncture, facing structural support and a balancing act between bullish momentum with eyes on the next macro signals,” a note from Bitfinex stated.
Potential catalysts could present themselves this week, as noted by Jake O, an OTC trader at Crypto Trading Firm WillimMute. He mentioned that U.S.-China trade representatives are set to meet today, suggesting that markets sensitive to headlines may respond to the ongoing positive momentum, with little new data until Wednesday when CPI reports will shed light on U.S. inflation.
