I don’t find it very accurate to explain Bitcoin’s recent surge solely with the crypto market’s own internal dynamics. The real shift happened on the US side. As pressure on long-term interest rates eased, money that had been waiting on the sidelines in “safe” assets for a while began moving back into riskier assets. Bitcoin was one of the fastest beneficiaries of this change. What’s more, the market had been excessively positioned toward a downward direction; as the price moved higher, the buying created by those who had to close positions made the rally even sharper.

I think what matters here isn’t just one piece of news, but several developments turning in Bitcoin’s favor at the same time. Breaking through key technical levels, seeing renewed strong inflows on the ETF front, and the regulatory climate toward crypto in the US moving toward a more constructive stance all changed market sentiment in a short time. In other words, the move we’re seeing seems to me less like a “why did Bitcoin suddenly rise?” story, and more like a move that started with changes in global liquidity conditions and accelerated as the squeezed market unwound.