Bitcoin briefly surged to a six-week high of $75,937 on Tuesday, as over $330 million in short positions were liquidated across the crypto derivatives market.
The rebound came after Bitcoin broke past the key $75,000 resistance, triggering a wider rally across altcoins. Tokens like Zcash and MemeCore saw double-digit gains during the day.
Data from CoinGlass shows nearly $498 million in crypto liquidations in the past 24 hours, with $118 million coming from Bitcoin short positions alone.
Institutional demand also played a major role. Twelve U.S. spot Bitcoin ETFs drew in over $200 million in inflows in a single day, continuing a six-day streak that added nearly $1 billion in total, according to SoSoValue.
Analysts note that Bitcoin is forming a rounded bottom pattern on the daily chart, a sign of potential trend reversal. Short-term indicators are showing bullish momentum with the 20-day SMA approaching a crossover with the 50-day SMA.
Traders are now eyeing $79,000, the February high and 50% Fibonacci retracement level. A successful break could push prices as high as $89,850, the neckline of a double bottom formation. On the downside, failure to hold support around $72,000 could see BTC retesting lower levels.
At press time, Bitcoin was trading around $74,000, holding onto about 6% gains for the week. The market remains upbeat as ETF inflows and technical setups suggest momentum could continue.
