Behind the $20,000 price surge lies nearly $2 billion in leveraged positions forced into liquidation within just a few hours. Bitcoin briefly spiked past $69,000 while Ethereum jumped 10% in tandem — a sharp rally that didn't just push up spot prices, but also made short sellers pay dearly.
According to The Block, the rally is tied to the U.S. Treasury's buyback operations and a recent crypto-related proposal from the SEC (Securities and Exchange Commission), with both pieces of news combining to ignite buying pressure. The report noted that the surge triggered nearly $2 billion in crypto liquidations, suggesting there was a substantial amount of short positioning in the market beforehand.
The ripple effect also showed up in the stock market. Crypto-linked stocks rallied in tandem, with Strategy and Bitmine shares both climbing roughly 10% — a gain closely mirroring Ethereum's move.
No further details have been released yet on the specifics of the Treasury's buyback operations or the SEC proposal, and further developments await official confirmation.
