According to Woofun AI, market sentiment picked up significantly due to the inclusiveness shown by the Donald Trump administration during regulatory discussions, and this macro background became the core driving force behind Bitcoin's price rebound.
According to data compiled by Woofun AI, Bitcoin's single-day increase was close to 8%, the biggest one-day increase since March. At one point, the price hit $69,500, reaching the highest level since the beginning of June. The sharp rise triggered severe shortfall, leading to the liquidation of the largest short selling position since 2021. Short positions worth more than $1 billion were forcibly closed in just 1 hour, and buying pressure stabilized after further boosting prices.
The performance of related assets was also strong, with Ethereum rising as much as 12%, and crypto-concept stocks such as Coinbase (COIN) (COIN.US) and Strategy (MSTR) (MSTR.US) rising significantly. Policy details supporting the rebound include the US Securities and Exchange Commission's proposal to exempt some startup securities registration requirements to reduce compliance burdens, and the US Treasury's expansion of the bond repurchase program to enhance market liquidity. Together, these measures have optimized the digital asset investment environment.
This rebound marks a return to retail and institutional investors' confidence in a clearer regulatory framework and increasing institutional participation. However, market volatility is still high, and there is uncertainty about the final direction of regulatory measures. As policy trends in Washington continue to evolve, the cryptocurrency market is expected to remain highly sensitive to them, and policy implementation will determine the continuation of subsequent gains.