Bitcoin has surged dramatically for the second consecutive trading day, reaching a high point of $88,500 as spot market volumes surged noticeably. The sudden upswing effectively wiped out short positions, triggering approximately $145 million in crypto market liquidations, with Bitcoin shorts accounting for $69.4 million of the losses.
This latest upward movement picks up momentum from the previous day’s optimism, influenced in part by relieving news that the Trump administration had yet to finalize the widely anticipated “Liberation Day” tariffs scheduled for April 2. The market breathed a collective sigh of relief as nations such as Israel, Mexico, and India either rescinded existing tariffs or expressed intentions to avoid reciprocal tariff measures against U.S. imports.
Despite this bullish run, many traders remain cautious as Bitcoin is currently trading just shy of a critical three-month descending resistance line that has repeatedly capped previous rally attempts. This resistance aligns closely with Bitcoin’s 50-day moving average, a factor widely watched as a barometer for sustained momentum.
Market data tracking platforms have observed clearly defined trends showing stronger underlying spot purchases across major exchanges, including notable spikes in premium on Coinbase Pro. Analysts attribute this increased appetite in the spot markets partially to strategic accumulation moves from notable institutional investors and corporate entities, such as GameStop, MARA, Metaplanet and Strategy, all of which recently disclosed intentions to expand their Bitcoin holdings significantly. Among these, GameStop reported it had secured $1.5 billion specifically earmarked toward acquiring additional Bitcoin, while Strategy has already actively increased its reserves.
Yet, despite the positive price action and growing institutional interest, worries linger over the broader macroeconomic environment, notably geopolitical tensions and ongoing tariff disputes, which experts warn could limit or even reverse the further upside potential of Bitcoin’s recent trajectory.
In the short term, the continuity of robust spot buying activities across Binance and Coinbase Pro combined with how markets digest and react to ongoing international trade developments and tariff policy announcements from the White House will likely dictate Bitcoin’s next major move. While traders celebrate today’s gains, market observers watch cautiously for signs of sustained bullish momentum—or potential reversal—around these critical price levels.
