In a surprising turn of events, the crypto market witnessed a sudden surge in the prices of Bitcoin and Ethereum, with increases of nearly 4% in a 15-minute window on October 1st. The unexpected price spike led to the liquidation of more than $70 million in crypto shorts, leaving the community buzzing with speculation and excitement.
Data from TradingView reveals that Bitcoin experienced a rapid surge. It spiked by 3% within just 15 minutes, rapidly climbing from $27,100 to $28,053. Similarly, Ethereum's native currency, Ether, saw a significant rise. It gained as much as 4.7% during a brief spike to $1,755 before stabilizing at $1,727.
This sudden and significant movement has perplexed many within the crypto community. Some observers believe that this surge is aligned with what's known as "Uptober". The term is denoting the historical bullish trend typically seen in the month of October in the market. Notably, data from CoinGlass indicates that October has only yielded negative monthly returns only twice since 2013.
Amidst this market optimism, attention is directed towards the potential approval of a spot Bitcoin exchange-traded fund (ETF) by the United States Securities and Exchange Commission (SEC). However, analysts suggest that January 2024 seems the most likely date for such an announcement.
The surge was surely welcomed by holders of spot and long positions. However, it also meant huge losses for short sellers, resulting in the liquidation of $70 million in short positions within a mere two hours. Data from CoinGlass reveals that nearly $36 million worth of BTC shorts and $23 million worth of ETH shorts were "rekt" due to this unexpected price movement.