Analysis: This round of Bitcoin's rise was driven by heightened optimism about crypto regulations and the expansion of the scale of US bond repurchases

Comparative news, according to Bloomberg, as industry executives gathered in the White House and market regulatory optimism was heating up, Bitcoin broke through a multi-month trading range on Wednesday, once rising 8% to about $69,500, the biggest increase since March, and rose to the highest level since early June. Trump is expected to hold meetings with executives from companies such as Coinbase, Payward, and Blockchain.com.

Axel Rudolph, IG's chief technical analyst, said that this round of gains towards $70,000 was triggered by bears' recovery, indicating that buyers' confidence is recovering, but whether the market can maintain momentum and further challenge the $75,000 area still faces a critical test. Bitcoin returned to the 100-day and 200-day EMAs simultaneously on Wednesday. According to Coinglass data, the rapid rise triggered more than $1 billion in liquidations within an hour, with a liquidation scale of about $1.5 billion over the past 24 hours.

On the regulatory side, the US SEC proposed this week that some digital asset issuance exempt securities registration requirements are required to help companies in the start-up and financing stages. Meanwhile, the US Treasury Department announced that it will at least double the scale of liquidity support repurchase operations for 10-year to 30-year treasury bonds, driving US bond yields and the dollar downward.

Joshua Lim, co-head of marketing at FalconX, said that while the market has been flooded with sales over the past few weeks, Bitcoin remained strong in the $60,000 low area, which subsequently drove a shift in market sentiment and narrative. Bitcoin options holdings are mainly concentrated around $60,000 put options and $70,000 call options, according to Deribit data.