Bitcoin’s Best Week Since 2023
Bitcoin surges 23% in a week, wiping out over $1 billion in short positions.
The update
Bitcoin has had its best week since 2023, rising 23% to reach as high as $79,319. The surge has forced over $1 billion in short positions to be closed, with Thursday marking the largest liquidation of Bitcoin shorts ever at $1.1 billion. Exchange-traded funds received $1.6 billion in new cash this week, with Thursday alone seeing $606.3 million in inflows.
Why it matters
Bitcoin’s rally is creating a self-reinforcing momentum as short sellers are forced to cover their positions, driving prices higher. The price increase coincides with the Treasury Department’s announcement to double its long-dated bond buybacks, which has lowered yields and reduced the opportunity cost of holding non-yielding assets like Bitcoin. This market dynamic is pulling altcoins higher alongside Bitcoin.
What to watch
Monitor whether the momentum sustains or if this is a temporary correction. Watch for developments on the Clarity Act, which is set for a vote in September after President Trump’s meeting with crypto executives. The relationship between Treasury bond yields and Bitcoin’s price movement remains a key indicator to track.
Sources
- bitcoinmagazine.com — confirming Bitcoin's price performance and short liquidation data
- coindesk.com — corroborating market performance and technical indicators
