Reasons for the skyrocketing of Bitcoin! eureka!!! bitcoin:native This wave may seem inexplicable, but in fact, it is a combination of three factors: 1. There are too many bears, and this wave has directly turned into a forced short Over the past few months, Bitcoin has plummeted from $126000 to just over $60000, with almost every rebound being hit back. After a long period of decline, the market has formed a very consistent consensus: Rebound is empty. So the short positions became increasingly crowded, and the leverage also piled up higher and higher. The problem is that when everyone is short, they don't know that strong liquidation=buying long liquidation=boosting the rise After BTC broke through, the first batch of high leverage bears began to sell out. Short selling means that the trading platform must buy back BTC to close positions, so: Rising → Short positions liquidated → Forced buying → Continued rise → More short positions liquidated. ⸻ 2. Greater catalysis, from the US Treasury Department Recently, long-term US bond yields have soared, and the market's biggest concern is the increasingly tight liquidity. As a result, the US Treasury Department announced that from September 9, it would raise the single liquidity support repo ceiling of treasury bond with a maturity of more than 10 years from US $2 billion to at least US $4 billion until the beginning of November. This wave is actually injecting liquidity into the market: US Treasury yields decline → US dollar weakens → US stocks (risk assets) rise → cryptocurrency rises. The reason is simple: when bank interest rates are high, you are also unwilling to invest money in risky assets; On the contrary, low bank interest rates will force you to invest and consume ⸻ 3. Trump's Evening Gala Trump met with cryptocurrency industry executives such as Coinbase, Payward, and Blockchain at the White House, emphasizing once again the need to promote the United States as a global center for digital assets. The SEC also proposes a new regulatory plan for encrypted assets: raising less than xxx for digital asset projects in the United States does not constitute illegal fundraising What stimulates the market even more is: Trump stated that he will consider the government's proposal to increase its holdings of Bitcoin put forward by regulatory agencies. Whether this matter can ultimately be implemented remains to be seen, but for market sentiment, the signal is already clear enough: The policy direction of the United States towards Crypto is still moving towards a more friendly direction. Believe in Trump's TACO!!!