Bitcoin once broke above 85,000, setting a new interim high. Behind this surge, multiple forces have converged to drive the market higher.
Recently, the Federal Reserve has sent clear signals of potential rate cuts; the market now expects the rate-hiking cycle to be over, and U.S. Treasury yields have begun to fall.
The U.S. Senate recently failed to pass a bill, but the market interpreted it instead as a sign that there will be no severe regulatory shock in the near term, prompting speculative capital to rush in faster.
Spot ETF inflows have returned, and strong net inflows have been recorded recently. Ongoing purchases by major asset managers such as BlackRock and Fidelity have provided substantial support.
From a short-term structure perspective, when the price rises and breaks through key liquidation-dense zones under positive catalysts, a large number of short positions trigger forced covering. Short-covering creates a chain-reaction buying wave, further propelling the price upward and forming a typical short-squeeze positive feedback loop.
Recently, the Federal Reserve has sent clear signals of potential rate cuts; the market now expects the rate-hiking cycle to be over, and U.S. Treasury yields have begun to fall.
The U.S. Senate recently failed to pass a bill, but the market interpreted it instead as a sign that there will be no severe regulatory shock in the near term, prompting speculative capital to rush in faster.
Spot ETF inflows have returned, and strong net inflows have been recorded recently. Ongoing purchases by major asset managers such as BlackRock and Fidelity have provided substantial support.
From a short-term structure perspective, when the price rises and breaks through key liquidation-dense zones under positive catalysts, a large number of short positions trigger forced covering. Short-covering creates a chain-reaction buying wave, further propelling the price upward and forming a typical short-squeeze positive feedback loop.