Bitcoin Shorts Lose $1.7B as BTC Jumps to $69,870, Fear & Greed Hits “Greed”

Bitcoin shortsellers took a $1.7 billion hit in the past 24 hours, according to Coinglass data, as BTC surged toward $69,870 and briefly touched near $70,000 before pulling back to around $68,253 — a move of more than 5% in a day. Roughly $1.5 billion of those liquidations happened in just the last four hours of the rally, a sign of how sharply the market repriced against traders betting on a decline.

The Crypto Fear & Greed Index moved into “greed” territory alongside the price jump, reflecting a fast shift in sentiment after a month in which bitcoin had traded largely sideways. Analysts had flagged the coin’s volatility as sitting at record lows heading into the move, making Wednesday’s swing stand out against a quiet backdrop.

What triggered the squeeze

The rally followed the U.S. Treasury’s announcement that it plans to more than double the size of its government debt repurchases, a move led by Treasury Secretary Scott Bessent aimed at taming bond yields that had climbed to levels unseen in nearly two decades. Lower long-term yields reduce the opportunity cost of holding non-yielding assets like bitcoin and gold, which tends to lift risk-on sentiment across markets.

Traders also appeared to be positioning ahead of a scheduled meeting between President Trump and executives from crypto and prediction market firms, held the same day. That came even as a vote on the long-awaited crypto Clarity Act was delayed, suggesting the market is pricing in continued regulatory momentum rather than waiting for a single legislative event.

Why the liquidation size matters

A $1.7 billion short liquidation in 24 hours — with $1.5 billion of it concentrated in a four-hour window — points to a classic short squeeze: as price climbed past key levels, leveraged short positions were forced to close, and those forced buybacks likely added fuel to the upward move itself. This mechanical buying pressure can exaggerate a rally beyond what spot demand alone would produce, which is why sharp liquidation spikes often coincide with the steepest candles.

For traders, the pullback from the intraday high near $69,000-$69,870 down to roughly $68,253 is a reminder that squeezes can reverse quickly once the forced-selling or forced-buying pressure is exhausted. For holders, the combination of a “greed” reading and a large liquidation event is worth watching closely, since both have historically preceded periods of higher volatility in either direction.

Read more: Bitcoin Jumps to $68,473 After Treasury Doubles Debt Buybacks, Yields Fall

Sources

• cryptonews.com
• bitcoinmagazine.com