Bitcoin's Sudden Rally Triggers Massive Liquidations
The cryptocurrency market experienced a sharp upward trajectory on October 29, with Bitcoin leading the charge by surpassing $71,000 per coin—a 5% increase within 24 hours. Other major cryptocurrencies followed suit:
- Dogecoin surged over 18%
- Ethereum rose nearly 5%
- BNB and Cardano showed significant gains
This abrupt price movement resulted in:
- $73 million liquidated within one hour (9:20–10:20 AM)
- 73,000 traders liquidated over 24 hours
- Total liquidation value: $242 million (72% from short positions)
Key Drivers Behind the Rally
- Political Polls Shift:
Trump’s 0.2% lead over Harris in RealClearPolitics’ polling reversed previous trends, boosting market optimism about crypto-friendly policies. Institutional Activity:
- Microsoft exploring Bitcoin investments (per SEC filings)
- BlackRock acquired 34,085 BTC ($2.4 billion) in two weeks, bringing its total holdings to **200,000 BTC** ($28 billion)
- Hong Kong’s Market Development:
The HKEX announced a new Virtual Asset Index Series launching November 15, reinforcing Hong Kong’s position as Asia’s digital asset hub.
Market Reactions Across Asset Classes
| Asset Class | Notable Movers | Performance |
|---|---|---|
| HKD Stocks | OKX Chain (+26%), OSL Group (+17%) | Strong gains |
| A-Shares | Inspur Info, Cambricon | Significant lift |
| US Equities | Coinbase (+5%), MicroStrategy (+9%) | Positive momentum |
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BlackRock’s Bitcoin Strategy: 4 Critical Insights
- Scale of Holdings:
40,000 BTC positions BlackRock as a _top-tier institutional holder_, equivalent to 2% of Bitcoin’s circulating supply. - ETF Channel Dominance:
Bitcoin ETFs now account for 83% of institutional crypto inflows YTD. - CEO’s Public Endorsement:
Larry Fink’s Q3 statement: "Bitcoin is a legitimate asset class—a digital alternative to gold." - Market Concentration Risks:
Debates emerge about potential impacts on Bitcoin’s decentralization ethos.
FAQ: Understanding the Crypto Surge
Q: Why did Bitcoin prices spike suddenly?
A: Three factors converged: political poll changes, institutional buying, and derivatives market squeezes.
Q: How significant is BlackRock’s BTC accumulation?
A: At 200,000 BTC, their holdings exceed the BTC reserves of 18 sovereign nations combined.
Q: What’s the Trump-Harris policy divide on crypto?
A: Trump pledges deregulation (e.g., mining tax breaks), while Harris supports _stronger compliance frameworks_.
Q: Could Bitcoin hit $80,000 by November?
A: Options markets price a 38% probability, fueled by election volatility and ETF demand.
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Strategic Implications for Investors
- Monitor Election Polls:
Crypto markets now react sharply to U.S. political sentiment shifts. - Assess Concentration Risks:
With 10 institutions controlling 15% of BTC, evaluate decentralization trade-offs. - Watch HKEX Developments:
New indices may attract $5–7 billion in Asian institutional capital by 2025 Q1.
Note: All data reflects conditions as of October 29 trading sessions.