BTC Breaks $110,000 to Set New Historical High
On July 10, 2023, at midnight Beijing time, the price of Bitcoin surged to $112,000, setting a new historical high. As of the time of some media reports, the price of Bitcoin was reported at $111,314, up 2.44% within 24 hours. At the same time, other cryptocurrencies such as Ethereum, Solana, and Cardano also saw significant increases.
Reasons for the Rise
Short Squeeze Triggered Passive Buying: On July 10, $280 million in Bitcoin short positions were closed at key resistance levels, triggering passive buying and pushing the price to break previous highs.
Institutional Capital Inflow: Data from cryptocurrency trading firm GSR indicates that institutional investors have been continuously buying Bitcoin through various financial instruments. This demand pattern is more stable compared to historical speculative buying, providing strong support for the rise in Bitcoin prices.
Increased Market Risk Appetite: Nvidia's market capitalization surpassed $4 trillion, driving the Nasdaq to new highs, enhancing market risk appetite and directing funds towards crypto assets, with Bitcoin also rising as a risk asset.
Impact of Macroeconomic Factors: This year, the value of safe-haven assets like the US dollar has loosened amid increasing global macro uncertainty and escalating geopolitical conflicts. Coupled with an asset shortage in the global traditional financial market, a large amount of capital is seeking alternative investment targets, and Bitcoin meets the current market's diversified allocation needs.
Improvement in Regulatory Environment: Progress has been made in US stablecoin legislation. If the "GENIUS Stablecoin Act" is officially passed, it will become the first federal legislation in the US targeting stablecoins, bringing new funding channels to the digital currency market and enhancing market confidence.
Market Impact
The significant rise in Bitcoin prices has led to many shorts being liquidated in the cryptocurrency market. Data from Coinglass shows that over the past 24 hours, liquidations across the entire cryptocurrency network exceeded $500 million, with nearly 110,000 people liquidated, of which nearly 90% were short positions.
Future Trend Expectations
Under the influence of multiple favorable factors, investors generally expect that in the second half of 2025, Bitcoin is likely to continue setting new highs. The head of digital asset research at Standard Chartered recently predicted that Bitcoin's price may surpass $135,000 in the third quarter, and by the end of 2025, it could even rise to $200,000. However, Bitcoin remains a risk asset with high market volatility, and investors should be wary of potential pullback risks.
On July 10, 2023, at midnight Beijing time, the price of Bitcoin surged to $112,000, setting a new historical high. As of the time of some media reports, the price of Bitcoin was reported at $111,314, up 2.44% within 24 hours. At the same time, other cryptocurrencies such as Ethereum, Solana, and Cardano also saw significant increases.
Reasons for the Rise
Short Squeeze Triggered Passive Buying: On July 10, $280 million in Bitcoin short positions were closed at key resistance levels, triggering passive buying and pushing the price to break previous highs.
Institutional Capital Inflow: Data from cryptocurrency trading firm GSR indicates that institutional investors have been continuously buying Bitcoin through various financial instruments. This demand pattern is more stable compared to historical speculative buying, providing strong support for the rise in Bitcoin prices.
Increased Market Risk Appetite: Nvidia's market capitalization surpassed $4 trillion, driving the Nasdaq to new highs, enhancing market risk appetite and directing funds towards crypto assets, with Bitcoin also rising as a risk asset.
Impact of Macroeconomic Factors: This year, the value of safe-haven assets like the US dollar has loosened amid increasing global macro uncertainty and escalating geopolitical conflicts. Coupled with an asset shortage in the global traditional financial market, a large amount of capital is seeking alternative investment targets, and Bitcoin meets the current market's diversified allocation needs.
Improvement in Regulatory Environment: Progress has been made in US stablecoin legislation. If the "GENIUS Stablecoin Act" is officially passed, it will become the first federal legislation in the US targeting stablecoins, bringing new funding channels to the digital currency market and enhancing market confidence.
Market Impact
The significant rise in Bitcoin prices has led to many shorts being liquidated in the cryptocurrency market. Data from Coinglass shows that over the past 24 hours, liquidations across the entire cryptocurrency network exceeded $500 million, with nearly 110,000 people liquidated, of which nearly 90% were short positions.
Future Trend Expectations
Under the influence of multiple favorable factors, investors generally expect that in the second half of 2025, Bitcoin is likely to continue setting new highs. The head of digital asset research at Standard Chartered recently predicted that Bitcoin's price may surpass $135,000 in the third quarter, and by the end of 2025, it could even rise to $200,000. However, Bitcoin remains a risk asset with high market volatility, and investors should be wary of potential pullback risks.
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BTC
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