Crypto Market Surges on Positive US Inflation Data, Bitcoin Tops $85,000
The cryptocurrency market experienced a significant buying surge, fueled by positive Personal Consumption Expenditures (PCE) data from the United States. On the evening of September 30th, Taipei time, Bitcoin (BTC) decisively broke through the $85,000 mark, while Ethereum (ETH) reclaimed the $2,700 level. This sudden rally led to substantial liquidations for short-sellers, with total global liquidations reaching $255 million in the past 24 hours, according to CoinGlass data.
Inflation Data Boosts Crypto Confidence
Encouraging U.S. inflation figures provided a strong impetus for the cryptocurrency market. The latest PCE price index data, released recently, triggered a powerful wave of buying activity across the crypto space on the evening of September 30th, Taipei time.
Bitcoin and Ethereum Lead the Charge
Bitcoin (BTC), the largest cryptocurrency by market capitalization, demonstrated robust bullish momentum, surging past the $85,000 threshold. Simultaneously, Ethereum (ETH) also climbed back above the significant $2,700 level. As of this report, the overall market continues to trade with strong upward momentum.
Short-Sellers Face Steep Losses
The abrupt price surge caught contract market short-sellers off guard. Blockchain data platform CoinGlass reported that over the past 24 hours, a total of 72,901 traders worldwide faced liquidation, with total liquidations amounting to $255.40 million.
The largest single liquidation occurred on the HTX exchange, involving the BTC-USDT trading pair. One investor suffered a loss of $6.91 million, making them the biggest casualty of this short squeeze.
Market Performance and Outlook
Bitcoin has seen a remarkable 40% surge this quarter, outperforming gold. Fidelity analysts suggest that a double-bottom breakout has been confirmed, pointing towards a potential target of $100,000.
Bitcoin ETFs have attracted $2.8 billion in inflows within a week, even as some long-term holders take profits. The current market structure is considered healthier than previous peaks. JPMorgan noted that Bitcoin’s return to its production cost of $85,000 could alleviate selling pressure from miners.
