Bitcoin surpassed $87,000, marking its highest price since late January. This movement represents a 5–6% increase from the previous close of $81,000–81,200. The surge was driven by forced liquidations, with over $300 million in short positions closed within a single hour.
Total liquidations across the cryptocurrency market reached between $576 million and $800 million over a 24-hour period. The price increase pushed Bitcoin above the average cost basis for US spot ETF holders, which was approximately $82,225, returning these investors to profit.
Institutional demand preceded the price spike, as US spot Bitcoin ETFs recorded $435 million in net inflows on the preceding Friday. Market participants now identify $90,000 as the next potential target, which would require an additional 3–4% gain from current levels.
The rally occurred alongside a broader market shift, with the Nasdaq rising 1–2% and WTI crude oil prices falling to $91–92 per barrel. Despite the growth, Bitcoin remains below its January 2026 peak of $97,000 and its October 2025 all-time high of over $126,000.
Some analysts suggest the rapid price increase is a short squeeze that may be temporary. Factors such as rising Treasury yields and a recent interest rate hike by the Federal Reserve continue to influence market conditions and the cost of leverage.
