Bitcoin (BTC) climbed to its highest level in nearly a month, driving a sharp wave of liquidations as improving sentiment around a potential US-Iran agreement lifted the broader crypto market.
Total crypto market capitalization rose to approximately $2.6 trillion, its highest level in a month, while around 177,000 traders were liquidated for a combined $530 million over the past 24 hours, according to CoinGlass. Most of the liquidations occurred within a 12-hour window, with roughly 80%—or $425 million—coming from leveraged short positions in Bitcoin (BTC) and Ether (ETH).
One market observer noted that large-scale short covering contributed significantly to the rally. “This isn’t a breakout. It’s a short squeeze running into overhead supply,” said Valerius Labs. “Real buyers show up above the 200 SMA [simple moving average], not 15% below it.”
Bitcoin briefly approached the $75,000 level before encountering resistance and pulling back slightly, while Ether recorded a stronger move, rising 7.5% to reach its highest level since early February.
The latest price movement appears to be largely driven by derivatives activity, though broader macro developments have also played a role. Growing expectations of a potential agreement between the United States and Iran, which could ease weeks of geopolitical tension, have contributed to renewed investor confidence in risk assets.
Jeff Mei, chief operating officer at BTSE, said the rally reflects shifting expectations among market participants. “traders believe the US and Iran are coming closer to a deal.” He noted that Iran’s economic reliance on oil exports makes any disruption to shipping routes, particularly in the Strait of Hormuz, a critical factor in negotiations". “Now, it appears that Iran is frantically looking to broker a deal, and stock and crypto markets are rallying as a response.”
Despite optimism, geopolitical risks remain elevated. A US military blockade began earlier in the week, with Donald Trump warning of strict enforcement measures against Iranian vessels approaching restricted zones.
“If any of these ships come anywhere close to our blockade, they will be immediately eliminated, using the same system of kill that we use against the drug dealers on boats at sea,” Trump said in a Truth Social post. He also indicated that while Iran may be seeking a deal, the US would not agree to any terms that allow the country to retain nuclear capabilities.
The combination of derivatives-driven momentum and shifting geopolitical expectations continues to influence crypto price action, with traders closely monitoring both market structure and developments in the Middle East.
Sources:
https://www.reuters.com/world/middle-east/trump-says-iran-wants-make-deal-2026-04-13/
https://truthsocial.com/@realDonaldTrump/posts/116397847496142849
https://cointelegraph.com/news/bitcoin-75k-iran-deal-hopes-spark-rally
https://www.tradingview.com/symbols/BTCUSD/?exchange=COINBASE