Key Highlights

  • Bitcoin reached a four-week peak approaching $75,000 before settling around $74,290
  • Approximately $530 million in crypto liquidations occurred, with short positions representing 80% of the total
  • Diplomatic developments between the US and Iran appear to be fueling the price surge
  • Bitcoin ETFs recorded $833 million in net inflows over the previous week
  • Large wallet holders accumulated 30,000 BTC during March, valued at approximately $2.1 billion

Bitcoin surged past the $73,000 resistance level on Monday, a threshold that had previously blocked upward movement three times over the preceding eight days. The leading cryptocurrency climbed to $74,484, marking its strongest price point since late February before the escalation of tensions involving Iran.

Bitcoin (BTC) Price
Bitcoin (BTC) Price

This sharp upward movement resulted in $534 million worth of liquidations affecting approximately 180,000 traders. Short positions accounted for $430 million of these forced closures, representing the second substantial short squeeze within a span of less than seven days.

Source: Coinglass

Ether delivered stronger performance than Bitcoin, climbing 7.7% to touch $2,366, reaching its most elevated price in roughly ten weeks. Solana advanced 4.6%, while BNB increased 3.3%. Every cryptocurrency in the top ten by market capitalization registered positive movement across both daily and weekly timeframes.

The most significant individual liquidation involved a $12.4 million BTC-USDT short position on Aster. Bitcoin represented $229 million of total liquidations, while Ether accounted for $136 million.

Market participants are attributing the rally to indications from President Trump suggesting potential willingness to restart diplomatic engagement with Iran. Although a US military blockade of the Strait of Hormuz commenced on Monday, traders appear to interpret this action as a negotiating tactic rather than military escalation.

Jeff Mei, COO at BTSE, shared with Cointelegraph: “Traders believe the US and Iran are coming closer to a deal. Iran is frantically looking to broker a deal, and stock and crypto markets are rallying as a response.”

The S&P 500 has recovered all declines experienced during the Iran conflict period, while the MSCI All Country World Index extended its winning streak to eight consecutive sessions.

ETF Inflows and Whale Accumulation

Bitcoin ETFs recorded $833 million in net inflows throughout the past week. James Butterfill of CoinShares explained this “reflects a rebound in risk appetite following tentative ceasefire developments in Iran, alongside support from softer-than-expected US spending and CPI data.”

Net Inflows to Bitcoin Exchange-Traded Funds (ETFs)
Source: Farside Investors

Blockchain analytics from Santiment reveal that large wallet holders controlling between 1,000 and 10,000 BTC accumulated 30,000 tokens throughout March, representing roughly $2.1 billion in value. Approximately 20,000 BTC of this accumulation occurred within a 24-hour period.

The analytics platform Santiment observed on X that these whale addresses now possess over 4.25 million BTC, equivalent to 21.3% of the circulating supply, marking the highest concentration since mid-February.

What Analysts Are Watching Next

Trading firm Valerius Labs stated: “This isn’t a breakout. It’s a short squeeze running into overhead supply. Real buyers show up above the 200 SMA, not 15% below it.”

CryptoQuant highlighted the next critical resistance zone near $79,000, corresponding to the Traders’ Realized Price. This level represents the breakeven point for active buyers who entered positions during the recent decline and may consider taking profits.

The 4-hour Relative Strength Index has advanced to 62, surpassing its 14-period average. Analysts interpret this reading as evidence of strengthening upward momentum. The current ceasefire agreement between the US and Iran is scheduled to conclude next week, with additional diplomatic discussions under consideration.