Cryptocurrency prices are surging as Bitcoin (BTC) reaches a record high, briefly hitting the $90,000 mark on Coinbase before pulling back slightly. This latest milestone reflects growing investor confidence in digital assets, with the market rallying amid anticipation of pro-crypto regulatory policies following Donald Trump’s recent election victory.
Bitcoin, the largest cryptocurrency by market capitalization, initially retraced about 5% to the low $85,000 range early Tuesday, triggering a shakeout of leveraged buyers. However, the decline was short-lived; BTC quickly rebounded to clinch a new all-time high of $90,100 on Coinbase’s BTC-USD trading pair later in the U.S. session, before settling slightly lower. The CoinDesk Bitcoin Index (XBX), tracking aggregated exchange data, similarly peaked at $89,971.
Market analysts are watching the $90,000 level closely, considering it a potential resistance zone in the near term. Order book data from Binance’s BTC-USDT pair indicates significant sell orders around this threshold. Positioning in the options market further suggests BTC’s ascent might slow as it approaches the $90,000-$100,000 range.
After briefly touching $90,000, Bitcoin dipped to $88,500, maintaining a 0.9% daily gain and outperforming the broader CoinDesk 20 Index, which remained flat. Other major cryptocurrencies such as Ethereum (ETH) and Solana (SOL) slipped by 2%-3%, while Ripple’s XRP, Stellar Lumens (XLM), and Hedera (HBAR) outperformed with advances of 15%-18%.
The rally and volatility led to the liquidation of approximately $940 million in leveraged derivatives positions across digital assets over the past 24 hours, according to CoinGlass. This marks the highest liquidation total since the August 5 market crash, when yen carry trades briefly pulled Bitcoin below $50,000.
Investors have turned bullish on crypto, buoyed by optimism over cooling inflation, steady economic growth, and a supportive monetary environment. “Institutions are increasingly reacting to government signals, with the possibility of a pro-crypto administration becoming a catalyst unlike any we’ve seen before,” noted Nathan McCauley, CEO of Anchorage Digital.
