Bitcoin Reclaims $78K: Strategy Buy Sparks $320M Squeeze

In a sharp 24-hour turnaround, Bitcoin (BTC) has climbed roughly 4.7%, reclaiming the $78,000 level and injecting fresh momentum into a market that had recently shown signs of stagnation.

The move came amid easing geopolitical tensions and continued institutional accumulation, both contributing as the primary catalysts for the Bitcoin price jump.

Investor sentiment shifted toward "risk-on" assets following President Donald Trump’s announcement of a formal ceasefire extension between the U.S. and Iran. 

The de-escalation in the Middle East reduced geopolitical risk premiums in energy markets and supported capital rotation into equities and digital assets, including Bitcoin.

Bitcoin briefly declined to around $74,900 before rallying to an intraday high near $78,450. The move coincided with more than $320 million in short liquidations across crypto derivatives markets.

According to TradingView data, BTC traded near $78,400 during early Wednesday sessions as risk appetite remained supported by ongoing geopolitical developments.

On the institutional front, Michael Saylor’s Strategy disclosed a new purchase of 34,164 BTC, valued at approximately $2.5 billion.

The acquisition increases the company’s total Bitcoin holdings to more than 815,000 BTC, representing roughly 4% of the total supply.

Strategy has accumulated approximately 77,000 BTC in 2026 to date. Its total Bitcoin position is valued at around $60 billion, reinforcing its position as the largest corporate holder of Bitcoin.

At the same time, U.S. spot Bitcoin ETFs recorded a clear rebound in capital inflows.

According to SoSoValue, net inflows into U.S.-listed Bitcoin ETFs exceeded $250 million since the start of the week, with recent sessions approaching $1 billion in cumulative weekly flows.  BlackRock’s IBIT accounted for the majority of inflows, including periods exceeding $900 million.

As of this afternoon, Bitcoin’s market dominance stands at a commanding 61%. While still shy of its $126,210 all-time high reached last October, the message from the bulls is clear: the digital gold rush is far from over.

Bitcoin’s market dominance stands at approximately 61%, reflecting continued concentration of liquidity in the hands of large institutions.

While Bitcoin price remains below its all-time high of $126,210 reached in October, recent price action reflects a market increasingly shaped by institutional flows, ETF activity, and macro-driven sentiment shifts.

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