The cryptocurrency market experienced a significant short squeeze as Bitcoin surpassed $85,000 for the first time since January. This price surge triggered over $1 billion in total liquidations across the market, with short sellers accounting for roughly $850 million of the losses.
Bitcoin gained more than 5% within a 24-hour window. A high concentration of short interest between $83,000 and $86,000 accelerated the trend once the price crossed the $84,000 mark. In the hour following this breach, more than $262 million in short positions were liquidated.
Data from CoinGlass indicates total liquidations reached approximately $750 million over a 24-hour period, with $648 million attributed to shorts. Broader estimates suggest the figure reached $919 million. Bitcoin shorts accounted for between $277 million and $384 million, while long positions saw roughly $200 million in liquidations.
Following the squeeze, open interest in crypto derivatives increased by 7–8%, reaching approximately $156 billion. Trading volume during this period rose by 39–58%. Altcoins, including Solana and XRP, also saw significant gains, while Ethereum positions faced notable liquidations alongside Bitcoin.
