MARKET UPDATE BTC just ripped into the mid 75s tonight after trading below 69k earlier today. ETH is around 2,365 and SOL is near 89 as the entire crypto market finally breaks out.
What makes today especially interesting is that this wasnāt a normal risk-on move. The Dow lost 1.3%, the S&P 500 fell 0.9% and the Nasdaq dropped 1%, while BTC gained more than 8%.
The rally started after the Treasury doubled the size of its long-term bond buybacks, briefly pulling yields and the dollar lower. Trump then pushed Congress to pass the Clarity Act during a White House crypto event, adding another major catalyst.
Shorts were completely trapped after weeks of sideways price action. Nearly $3B in bearish positions were liquidated as BTC cleared 70k, adding fuel to an already strong breakout.
ETF demand backs the move too. Bitcoin funds brought in $517M on Wednesday, taking inflows above $1B from Monday through Wednesday. Another $103M has already been reported for Thursday, with BlackRockās number still pending.
The macro picture isnāt completely clear though. The Fed minutes showed that many officials still believe another hike may be needed, jobless claims remained low at 206,000 and manufacturing data was strong. Oil and Treasury yields also moved higher again today, which is why stocks struggled.
For BTC, 72-73k is now the first major support. Hold that area and 78-80k is the next obvious target. Lose it and 70k likely gets tested before the market can continue higher.
After weeks of BTC doing absolutely nothing, the breakout everyone was waiting for is finally here. Holding above 72k through the weekend would make this move even more convincing
As always DYOR (Disclaimer)
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