Bitcoin, the flagship cryptocurrency, has added nearly $1,000 to its value following a sharp increase in volatility within the cryptocurrency market. 

The top coin reached an intraday high of $35,579 on the Bitstamp exchange at 7:12 p.m. UTC.  

Bitcoin has emerged as the second-best performing cryptocurrency among the top 10 by market capitalization (behind only Solana). 

Shorts getting liquidated

Data from CoinGlass, a cryptocurrency analytics platform, reveals a significant number of short positions have been liquidated in the past hour. 

In total, $7.83 million worth of liquidations occurred, with a staggering 89.18% of those being short positions. 

Binance, a leading cryptocurrency exchange, saw $3.41 million in liquidations, 86.34% of which were shorts. Similarly, OKX experienced $2.55 million in liquidations with an even higher percentage of shorts at 97.35%. 

According to data provided by CoinGecko, Bitcoin is up 1.1% over the past 24 hours. 

Tight Bitcoin supply

It's challenging to pinpoint the specific reason behind the recent price spike. Yet, Glassnode, a blockchain data provider, has noted that the Bitcoin supply is "historically tight," with a record number of coins being held by long-term investors and significant rates of accumulation occurring. 

This could indicate a bullish sentiment among long-term holders, suggesting a confidence in the future value of Bitcoin despite short-term market fluctuations.

About the author

Alex Dovbnya

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets, can be contacted at [email protected].