Bitcoin Breaks Through 72,000: Shorts Liquidated, ETF Buying Supports Market, Derivatives on the Wrong Side

SnapshotBot · 2026-03-13T12:25:00+00:00

Bitcoin surged through $72,000, with bullish sentiment gradually strengthening in the short term. Over the past day, short liquidations reached $102 million, with stable funding rates supporting continued BTC price appreciation. ETF net inflows of $529 million are injecting stable momentum into the market. Current market conditions favor long positions, with further upside potential ahead.

SnapshotBot

2026-03-13 12:25:00

Abstract generation in progress

BTC Breaks Resistance, Bears Passively Squeezed

Bitcoin strongly broke through $72,000, up 3.25% in 24 hours, now at $72,165. With increased volume accompanying the breakout, this is not a false signal.

Derivatives data indicates issues: about $102 million liquidated in the past day, 74% of which were shorts; meanwhile, funding rates remain at 0.0000%, and longs haven’t been aggressively leveraged. Shorts are on the wrong side, and funding costs are low—if the price holds steady, momentum can reinforce itself.

On-chain and market data also support this view: MVRV at 1.297, valuation not high; NUPL at 0.2291, indicating a “hope” phase—more of an entry point than a celebration; NVT at 28.2, suggesting the price isn’t expensive relative to network activity. On the other hand, geopolitical tensions pushing oil prices higher and impacting stocks haven’t significantly affected BTC. ETF net inflows this week reached $529 million, which is genuine spot buying, not leverage pulses—this is the ballast of the current rally.

The narrative that “geopolitical risks suppress crypto” has not been fulfilled in recent weeks. BTC’s correlation with oil prices has noticeably weakened, and shorts betting on macro chain reactions may be adding to a nonexistent correlation.

In trading, I favor gradually accumulating BTC, targeting $75,000. The current price seems more like a consolidation phase, with BTC’s dominance likely to lead the rally; ETH and other large-cap coins may follow later, but right now, BTC holds the steering wheel.

Perspective	Focus	Transmission	My View
Geopolitical risk shorts	Oil prices, Iran situation	Rising inflation suppresses risk assets	Overestimated—BTC has temporarily decoupled, downside risk is mispriced
Institutional longs	$529M ETF net inflow, flat funding rates	Spot buying drowns out derivatives noise	This is anchoring—trend-following allocation
On-chain cautious	MVRV reasonable but not extreme	Limits short-term overheat	Actually leaves room for upside
Leverage reflexivity	74% liquidation from shorts	Short squeeze pushes prices higher	An asymmetric opportunity
Macro hedgers	PCE, Fed rate cut expectations	Cross-asset correlations	BTC now behaves more independently

This looks more like an early breakout phase: one-sided short positions and moderate fundamentals coexist, with the new variable being steady ETF inflows, creating a “not euphoric but sustained” upward trend.

Short liquidations are fueling the rally, not resistance
ETF spot buying supports the price
Funding rates remain stable, with no short-term leverage risks
Network activity and valuation are well aligned

The market currently resembles a long-suppressed tension being released. BTC surpassing $72,000 is not a rebound from February lows but a reaffirmation of the “investment should be allocated” stance amid rising risk appetite. Geopolitical pressures shook the stock market but didn’t replicate in BTC, indicating some buyers see it as a hedge rather than pure speculation. If upcoming PCE data doesn’t severely dampen rate cut expectations, upside remains.

Conclusion: This is an early stage, with directional longs and crypto funds holding the advantage; disciplined, risk-controlled short-term and swing traders are more likely to profit.

BTC1.49%

ETH2.26%

View Original

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.