Bitcoin prices have climbed higher once again, breaching the $93,000 mark during early Asian trading on Sunday and extending the rally seen since the start of 2026. Market analysts attribute this surge to a mix of technical and capital factors—specifically the liquidation of approximately $260 million in cryptocurrency positions over the past 24 hours—as well as shifting risk sentiment triggered by escalating geopolitical tensions and the Trump administration's stated intention to "take over" Venezuela.

Short Squeeze Pushes Bitcoin Past the $90k Mark

According to the latest market data at the time of writing, Bitcoin (BTC) briefly surpassed $93,300, marking a daily gain of approximately 1.6% and a cumulative rise of over 4% in the past seven days. Other major cryptocurrencies also strengthened:

• Ethereum (ETH) rose about 1.7%, briefly breaking $3,200, with a weekly gain of around 6.3%.

• Solana (SOL) was up about 2.3% on the day, with a cumulative rise of over 6% in the past week.

• XRP maintained levels above $2.00, rising about 0.6% daily and accumulating a gain of approximately 13% over the week.

A key backdrop to this overall uptrend is a significant wave of liquidations in the futures market. Data shows that approximately $260 million in crypto futures positions were liquidated in the last 24 hours. Of this, short positions accounted for roughly $210 million, while long positions totaled about $49 million. The liquidation structure suggests that short positions were previously concentrated; as prices continued to rise, traders were forced to cover their shorts, further fueling the price increase.

Market Liquidity Accelerates Price Action

Market liquidity factors also amplified this trend. During periods of relatively limited trading volume, even moderate spot buying can push prices past key technical levels and trigger stop-loss mechanisms in the futures market. When an anticipated pullback fails to materialize for short sellers, forced liquidations often transform a relatively gradual rise into a rapid price breakout.

Trump Administration's Move on Venezuela Viewed as Bullish by Crypto Investors

Beyond structural market factors, traders are closely watching recent political developments in Venezuela. Trump stated that the U.S. plans to "take over" matters related to Venezuela, though the White House has not released specific details.

Subsequently, following the detention of President Nicolás Maduro by U.S. forces, Venezuela's Supreme Court announced the transfer of full presidential powers to Vice President Delcy Rodríguez. Trump also mentioned Venezuela's oil resources, stating that the U.S. would maintain a presence in the local energy sector and implying that if the new government cooperates with the U.S. stance, the use of ground troops might not be necessary.

Cryptocurrency market participants generally view such geopolitical news as a catalyst for short-term volatility rather than a direct long-term fundamental driver. However, in an environment of rising risk appetite, such political news can still influence capital allocation and trading behavior, especially where high-leverage positions are concentrated.

The current rally in Bitcoin and major crypto assets reflects the interplay of multiple factors, including liquidation effects, leverage restructuring, liquidity conditions, and the market's real-time reaction to international politics. Future trends will depend on whether macro risk sentiment persists and if the market can sustain stable buying support at these high levels.

Disclaimer: None of the information contained here constitutes an offer (or solicitation of an offer) to buy or sell any currency, product or financial instrument, to make any investment, or to participate in any particular trading strategy.