Bitcoin (BTC) surged to an all-time high, triggering over $1 billion in short positions liquidation!

After Bitcoin (BTC) hit a historic high of 117,000 USD, the entire Crypto Assets market experienced over 1 billion USD in short positions liquidation in the past 24 hours. Reports indicate that despite the influence of the Spot Bitcoin ETF, the pump in Bitcoin is still driven by major futures activity.

Futures activity surges, Bitcoin price hits new high

Bitcoin has surged 4% in the past 24 hours, breaking the $117,000 barrier for the first time. The surge in Bitcoin is primarily influenced by futures trading activity, as the cumulative volume delta (CVD) of futures has been on an upward trend. This indicator represents the total difference between buying and selling volume.

According to Glassnode's data, despite the low financing rates, the futures CVD still shows signs of significant buying pressure. This has led to a surge in the number of open contracts for Bitcoin futures, which rose to 707,000 BTC on Thursday, worth $82 billion at that time.

According to data from Coinglass, the pump of Bitcoin in the past 24 hours has triggered over $1 billion in short positions liquidations across the entire crypto assets market. The total amount of Bitcoin short positions liquidated exceeds $570 million, with $415 million occurring within one hour.

In contrast, the Spot trading volume has shown a downward trend over the past few weeks, with only occasional peaks. Glassnode stated in a post on Thursday (July 10) that "futures traders are actively entering the market, but the Spot market has hardly provided any confirmation. The low volume of funds indicates that positions have not yet saturated—at least not at this moment."

(Source: Glassnode)

The decline in spot trading activity comes against the backdrop of the positive impact of U.S. spot Bitcoin exchange-traded funds (ETFs) in recent months. According to data from SoSoValue, these funds saw a cumulative net inflow of over $50 billion on Wednesday, with a net inflow amounting to $218 million.

The influx of funds is mainly led by BlackRock's iShares Bitcoin Spot ETF (IBIT), which has reached a record asset under management (AuM) of 77 billion USD.

The analyst from Kobeissi Letter wrote in Thursday's X article that this is one of the ETFs to achieve this milestone the fastest, as the largest gold fund took 15 years to reach this level.

Since its launch less than two years ago, the fund has held over 700,000 BTC, accounting for 81.4% of the 858,944 BTC held by the public finance company.