Bitcoin’s rise to $30K causes short traders to suffer their largest loss in 2 months.

Short traders experienced their biggest single-day losses since April, with over $178 million in bets against crypto tokens being liquidated in the past 24 hours, according to CoinGlass data.

The total amount liquidated, including both long and short positions, exceeded $203 million. Bitcoin (BTC) futures accounted for $75 million in losses, followed by ether (ETH) futures at $51 million. Among altcoins, Pepecoin (PEPE) futures suffered the highest losses, with just under $10 million.

Shorts refer to bets against price increases, while longs refer to bets on price increases for any financial asset. Crypto exchange Binance recorded the most losses among its counterparts at $65 million, followed by OKX at $58 million.

Liquidation occurs when an exchange forcibly closes a trader’s leveraged position due to a partial or total loss of the trader’s initial margin. This happens when a trader is unable to meet the margin requirements for a leveraged position (fails to have sufficient funds to keep the trade open).

Large liquidations can indicate the local top or bottom of a steep price move – which may allow traders to position themselves accordingly.

Bitcoin touched the $30,000 level for the second time this year following a flurry of ETF filings in the U.S. This may have buoyed a bullish outlook among traders, leading to a rally among major tokens, with cardano’s ADA, Solana’s SOL, and dogecoin (DOGE) posting weekly gains of at least 18%.

Options traders have been betting on even higher prices for bitcoin, data suggests. This sentiment is a near-180 turn from the start of June, when bullish hopes were dampened following regulatory action in the U.S. against crypto exchanges Binance and Coinbase.

Some market observers say this trend is likely to continue if ETF applications from traditional finance giants such as BlackRock are approved in the coming months.

“Bitcoin’s rally is part of a larger trend signaling a shift towards bitcoin as a distinctly strong and established store of value,” said Alex Adelman, CEO of bitcoin rewards app Lolli. “Bitcoin’s recent climb to over 50% market dominance in the crypto markets reflects a growing demand for bitcoin among institutional and retail investors as a highly secure, decentralized holding that has proven its value over time.”

“The recent burst of bitcoin ETF applications from leading institutions like BlackRock, Fidelity, and Invesco shows that new regulatory guidelines are the greenlight institutions have been waiting for to launch bitcoin-based products and meet client demand,” Adelman added.

Edited by Parikshit Mishra.

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