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Bitcoin Reclaims $80,000 on Trump’s ‘Project Freedom’ and ETF Inflows

Leverage in futures points to a squeeze that could fade fast.

Overview

  • Bitcoin jumped above $80,000 late Sunday after President Trump announced “Project Freedom” to escort ships through the Strait of Hormuz, reaching levels last seen in late January.
  • The surge forced roughly $100 million to more than $114 million in short positions to liquidate within about an hour as traders who bet against the price were compelled to buy back.
  • U.S. spot Bitcoin exchange-traded funds recorded a fifth straight week of net inflows at $153.87 million, including about $630 million on Friday, showing steady demand from large investors.
  • On‑chain and trading data show the advance leaned on ETF buying and leveraged futures while spot buying was weak, a pattern analysts say can reverse quickly when positions unwind.
  • Traders noted heavy orders clustered near $79,500 to $81,000 and a chart exhaustion signal called TD Sequential, while one analysis warned a $5,000 slide could put about $6.8 billion in long bets at risk.