Bitcoin Surges Past $113,000 Mark Amid Increased Investor Activity

Bitcoin hits new record above $113,000 as risk appetite rises among investors. Significant short positions were liquidated, while altcoins and crypto stocks also gained. Institutional investments and stablecoin legislation progress spark optimism for Bitcoin’s future.

Bitcoin has shot past the $113,000 mark again, reaching a new all-time high on Thursday. This surge follows a record just a day earlier. Investors are really diving into risk assets right now, liquidating their short positions and pushing prices higher.

As of late Thursday, the price of bitcoin was up about 2%, clocking in at $113,459.16. It even climbed to a high of $113,863.18 earlier in the day. Data from CoinGlass reveals that around $318 million worth of short positions were liquidated across centralized exchanges in a 24-hour span. When traders use leverage to bet against bitcoin (short selling) and the price unexpectedly rises, they have to buy it back to cover their positions, which, in turn, tends to push the price even higher.

In addition to bitcoin’s rally, altcoins are also seeing some love after a lag. Many investors had been losing faith in their potential this year, but tokens like Ether and Solana each gained over 2%. Meanwhile, Dogecoin and Cardano’s token surged more than 5%, while XRP and litecoin saw a 3% rise.

It’s not just cryptocurrencies that are benefiting. Bitcoin mining companies like Mara Holdings and Riot Platforms saw their stocks climb over 2%, along with crypto trading platforms such as Coinbase and Robinhood, each up 4%.

Bitcoin’s price has maintained a tight range lately, but with a huge influx of money into bitcoin exchange-traded funds, it’s kept above the $100,000 level for more than 60 days now. Public companies are moving aggressively into bitcoin, surpassing ETF inflows during the second quarter.

The current climb kicked off earlier this week on Wednesday, as investors embraced a risk-on attitude that propelled the Nasdaq Composite to a record close, helping to lift cryptocurrencies. With institutions making massive purchases and positive signs surrounding stablecoin legislation in Congress, many are optimistic about bitcoin reaching new heights in the latter half of this year.