Bitcoin's price leaps over $56,000, marking a significant rally. MicroStrategy's holdings see a major increase.
After hovering around $55,000 for a significant portion of the day, Bitcoin confidently surged above $56,000 late on Monday, reaching $56,700 at the time of this writing. This upward momentum persists despite more than $157 million in Bitcoin short positions being liquidated over the past 24 hours, according to CoinGlass.
The achievement comes mere hours after BTC exceeded the $53,000 mark, already reaching levels not witnessed since 2021.
Traders who opted for a short position on Bitcoin—anticipating a decrease in its price from the time the option was secured—are forced to liquidate their positions when the price rises instead, prompting automated responses from exchanges to mitigate further losses.
Bitcoin has thus recorded an intra-day surge of approximately 10%—a performance that would be impressive as an annual return for traditional investment instruments. Furthermore, the surge is fueled by traditional finance's growing appetite for Bitcoin spot ETFs, which also witnessed record inflows today.
Leading institutional Bitcoin holder MicroStrategy recently expanded its Bitcoin holdings to 193,000 BTC. This stash was valued at $10.28 billion when CEO Michael Saylor announced the acquisition of 3,000 Bitcoin earlier today. Its value has now risen to $10.9 billion, marking a $620 million increase in a single day.
Saylor highlights that the firm has acquired Bitcoin at an average price of $51,813 per coin.
October 2021 witnessed a similar fervor among crypto enthusiasts as Bitcoin surpassed $57,000—once again establishing a new all-time high for the year, before climbing to $69,000 in November during a two-week rally.
Ethereum also experienced a favorable day, reaching a peak of $3,273 approximately an hour before Bitcoin's surge. This figure echoes levels last observed in April 2022, as Ethereum's value gradually declined from its all-time high of $4,878 in November 2021.