Bitcoin jumped to $80,617 on Sunday, May 4, hitting a three-month high and sparking $554 million in liquidations. Its market capitalization briefly surpassed $1.6 trillion during the volatility.
Liquidation Toll
Traders got slammed when the sudden Bitcoin spike tripped stop-loss orders. The $554 million in liquidations happened fast. It didn’t just hit long positions. Shorts got squeezed too as the price shot up unexpectedly.
Oil’s Parallel Climb
Brent crude oil reached $115 per barrel the same day. It wasn’t connected to Bitcoin’s move. Both markets just happened to surge simultaneously. Energy traders pushed oil prices higher amid Middle East supply concerns.
Market Cap Milestone
Crossing $1.6 trillion in market value showed renewed investor confidence. This wasn’t a flash in the pan. Volume stayed high well into Sunday night. The last time Bitcoin held this level was back in February.
Monday’s open will test whether the rally holds. The liquidations left many traders burned. They’ll watch order books closely this morning.
