Bitcoin hits $81K amid global oil concerns

During Friday's Wall Street open, Bitcoin hits $81K, specifically reaching $81,034 on Bitstamp, marking a 6% increase as global markets reacted to heightened concerns over the escalating fuel crisis.

The cryptocurrency's upward movement triggered the liquidation of approximately $250 million in short positions across various digital assets within a four-hour period. Bitcoin's price momentum is now approaching resistance levels previously observed in May.

Concurrently, US bond yields rebounded, with the 30-year yield rising 90 basis points to 5.34%. West Texas Intermediate (WTI) crude oil prices, after an initial dip, climbed back to nearly $98 per barrel. This comes after the International Energy Agency (IEA) issued a report suggesting countries might need to reduce oil consumption.

The IEA noted that earlier price moderation was due to emergency stock releases and increased output from non-regional producers. However, the agency warned that continued restrictions on Gulf supplies and rapid depletion of commercial inventories would necessitate higher prices and further demand reductions to balance the market. The report calculated August oil flows through Hormuz at 7.6 million barrels per day, significantly below pre-US-Iran war figures.

Analyst Rekt Capital commented on Bitcoin's short-term price action, highlighting $82,000 as a critical level for BTC/USD to breach. Failure to surpass this could result in a double rejection pattern, similar to the end of the mid-May rebound.

Despite this, Bitcoin‘s recent surge allowed it to reclaim its True Market Mean, which represents the aggregate cost basis of all coins acquired on secondary markets, currently at $76,660. Glassnode, an on-chain analytics platform, stated that this places the price back above a crucial level and into a bullish regime. The cost basis for corporate Bitcoin treasuries stands at $80,500, further emphasizing the significance of the current price range.