Bitcoin Reclaims $85,000 as Crypto Market Extends Recovery
Bitcoin pushed above $85,000 on Monday, reaching its highest level since January as the cryptocurrency market extended last week’s rebound alongside gains across Asian and European equities.
BTC had fallen toward $75,000 on Sept. 15 before recovering above $80,000 by Friday. The latest move added more than 5% over 24 hours, leaving Bitcoin less than 3% lower on the year. However, it remains about 32.5% below its October record high of roughly $126,000.
The sharp recovery also triggered a major wave of short liquidations. More than $750 million worth of crypto positions were liquidated over the past 24 hours, according to CoinGlass data, with short positions accounting for $648.3 million. Bitcoin-related liquidations totaled $360.7 million. The largest single liquidation was an $11.3 million BTCUSDT position on Binance.
Other major cryptocurrencies also advanced. Ethereum rose about 5.6% to $2,717, while XRP gained 7.8% to $1.49. Solana climbed 7.2% to trade around $115.75.
The broader market backdrop also improved as oil prices declined. Brent crude was down roughly 1.5% on Monday as Saudi Arabia expects to restore about half of the capacity of its damaged East-West pipeline within days. Crude exports have recovered from their August lows, although the threat of additional attacks on Saudi infrastructure remains a concern.
Lower energy prices helped support investor risk appetite as technology and semiconductor stocks moved higher in Asian markets. European shares also opened in positive territory, while U.S. stock futures pointed to further gains.
Market attention is also turning toward diplomatic developments. Renewed hopes for negotiations around this week’s United Nations General Assembly have emerged after U.S. President Donald Trump indicated he was open to meeting Iranian President Masoud Pezeshkian.
Interest rates remain another important factor for crypto markets. Following the Federal Reserve’s 25-basis-point rate hike last week, markets were pricing in roughly a 56% chance of another increase in October. The U.S. two-year Treasury yield was around 4.75%.
Investors are also watching Thursday’s planned White House meeting between Trump and Chinese President Xi Jinping. The meeting could provide another source of volatility for global markets and risk assets, including cryptocurrencies.