Bitcoin 
BTC
+7.14%
has hit an all-time high against the euro and pound. On Monday, the market-leading cryptocurrency reached all-time highs of €60,447 and £51,736 on Coinbase.
The foremost digital asset has increased by almost 6% in the past 24 hours, changing hands for $65,163 at 5:34 a.m. ET.
Bitcoin has hit a high of over $65,000. Image: The Block.
Bitcoin has not yet surpassed its all-time high in U.S. dollar terms, which was over $69,000 on Coinbase and was recorded in November 2021.
The Dollar Index, a key indicator of U.S. currency strength against six major rivals, displayed an upward trend last week. It has cumulatively gained 2.7% throughout January and February of 2023.
According to a recent Grayscale market report, there has been a steady decline in U.S. inflation since the beginning of this year, with markets now discounting a higher inflation outlook. “Generally speaking, the current higher U.S. interest rates are likely to be positive for the value of the dollar and could be negative for Bitcoin,” the Grayscale analysts added.
A spike in liquidations
The bitcoin price surged above $65,000 in early-day trading on Friday. The price volatility has caused a spike in liquidations of leveraged bitcoin positions.
The spike in prices over the past day led to a substantial liquidation of short positions on centralized exchanges. The volatility resulted in the liquidations of more than $80 million in bitcoin positions, with the majority ($60 million) being shorts, according to CoinGlass data.
The overall crypto market saw over $160 million of liquidated short positions in the last 24 hours, contributing to $251 million in liquidations across various centralized exchanges.
Liquidations occur when a trader’s position is forcibly closed due to insufficient funds to cover losses. This situation arises when market movements are unfavorable to the trader’s position, resulting in the depletion of their initial margin or collateral.
The GM 30 Index, representing a selection of the top 30 cryptocurrencies, has increased by 4.22% to 139.68 in the past 24 hours.
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