Bitcoin Climbs From Oversold Zone After $206M Liquidations
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Bitcoin Climbs From Oversold Zone After $206M Liquidations

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Created 2w ago, last updated 2w ago

Ethereum gained 4.5% to around $2,835, while Solana, BNB, DOGE, ADA and TRX also posted daily increases.

Bitcoin Climbs From Oversold Zone After $206M Liquidations

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Bitcoin News

Bitcoin recovered Sunday following an extreme oversold reading on the Relative Strength Index and more than $206 million in weekend liquidations that signaled seller exhaustion.
The largest cryptocurrency traded near $86,466 as of 1:36 p.m. UTC, gaining roughly 2.7% from earlier in the day when crypto analyst Ali Martinez highlighted the oversold signal. Martinez noted at 11:19 a.m. UTC that Bitcoin had entered extreme oversold territory on the RSI, a momentum indicator measuring price change pace from 0 to 100.

Traders typically view RSI readings below 30 as signs that sellers may have pushed markets too far, too quickly. The chart Martinez shared showed that Bitcoin's last two drops into this zone during 2023 and March 2025 preceded short-term rebounds. Bitcoin stood near $84,173 when he posted.

Total crypto market capitalization climbed 3.29% over 24 hours to $2.95 trillion, according to CoinMarketCap. Most top-20 non-stablecoin assets moved higher alongside Bitcoin's recovery.
Ethereum gained 4.5% to around $2,835, while Solana, BNB, DOGE, ADA and TRX also posted daily increases. Many tokens remain significantly lower over the month, but Sunday's gains suggested sellers may be tiring after weeks of sustained pressure.
XRP and Zcash delivered the most notable moves among major altcoins. XRP climbed 7.7% to roughly $2.04, while Zcash surged 14.1% to $574.05. The privacy-focused token has rallied 113.5% over the past month and more than 922% year-to-date. Privacy tokens, including Zcash and XMR, have outperformed most other sectors recently.
The rebound followed sharp derivatives liquidations. CoinGlass reported approximately 117,928 traders were liquidated over 24 hours, totaling roughly $206.39 million. The largest single liquidation was a $3.03 million HYPE-USD position on the Hyperliquid exchange. Thin weekend liquidity likely amplified both the downturn and recovery, a recurring pattern in Sunday crypto trading.

Despite the upswing, sentiment remained fragile. The Crypto Fear and Greed Index stood at 10, indicating extreme caution as traders watch whether the bounce can develop into a more durable shift in momentum. BTC has fallen more than 33% since setting a new record above $126,000 in early October.

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