Bitcoin Jumps to $81K as Oil Crisis Shakes Global Markets

Bitcoin's price shot up to $81,034, catching many traders off guard and reigniting hopes that the world's biggest cryptocurrency is entering a healthier phase.

The surge happened while global markets were on edge over oil supply problems. Here's what's driving the action:

• Bitcoin (BTC) hit a local high of $81,034
• Around $250 million in short positions were wiped out in just four hours
• US oil (WTI crude) dropped to $94.80 per barrel before bouncing back near $98
• The US 30-year bond yield climbed to 5.34%

Why did short-sellers lose $250 million? Some traders had placed bets that Bitcoin would fall — these are called "short positions" (borrowing to sell now, hoping to buy back cheaper later). When the price rose instead, their bets were automatically closed at a loss, a process called "liquidation."

The oil connection. The International Energy Agency (IEA) — a global group that monitors energy supplies — warned that countries may have to cut oil usage. Oil flowing through the crucial Strait of Hormuz shipping route has dropped sharply (down 13.1 million barrels a day compared to before the recent US-Iran conflict). Tight supply pushes prices up.

What are bond yields? A bond is basically a loan you give to a government. The "yield" is how much interest you earn. When yields rise, it often signals investors are nervous — and can make central banks (like the US Federal Reserve) raise interest rates to control inflation.

Key levels to watch. Analysts say Bitcoin needs to break above $82,000 to keep climbing. On the positive side, Bitcoin has reclaimed its "True Market Mean" of $76,660 — the average price at which coins were bought — which analytics firm Glassnode calls a return to a "bullish regime" (an upward-trending market).

Bottom line: Bitcoin is showing strength despite global oil and bond market turmoil, but traders warn the next few days are a "moment of truth" that could decide its short-term direction.

This is an AI-generated summary. Read the original article at: https://cointelegraph.com/markets/bitcoin-hits-81k-as-us-bond-yields-rebound-on-global-oil-woes?utm_source=rss_feed&utm_medium=rss&utm_campaign=rss_partner_inbound