Bitcoin

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Bitcoin (BTC) saw flash volatility around Tuesday’s Wall Street open as US-Iran nerves rocked risk assets.
Key points:
<ul>
 <li>Bitcoin briefly taps $78,000 as volatility returns to markets at the Wall Street open.</li>
 <li>US stocks hit new all-time highs, while crypto continues to underperform.</li>
 <li>Positive funding rates spark fresh warnings over Bitcoin's immediate outlook.</li>
</ul>
<h2 id="bitcoin-neutralizes-longs-and-shorts-in-volatile-moves">Bitcoin neutralizes longs and shorts in volatile moves</h2>
Data from TradingView showed BTC/USD hitting $78,000 —&nbsp;its highest since Thursday — before abruptly heading lower.<img alt="Bitcoin 'liquidation hunts' control BTC at $77K amid new Iran peace deal doubts" height="818" src="https://s3-images.ctmedia.io/media/content/btcusd2026-05-2616-31-02.png" width="1134">
BTC/USD one-hour chart. Source: Cointelegraph/<a href="https://www.tradingview.com/symbols/BTCUSD/" rel="noopener noreferrer nofollow">TradingView</a>
 In doing so, the pair liquidated both short and long positions, with the 24-hour total at $66 million, per <a href="https://www.coinglass.com/liquidations" rel="noopener noreferrer nofollow">CoinGlass</a>.<img alt="Bitcoin 'liquidation hunts' control BTC at $77K amid new Iran peace deal doubts" height="505" src="https://s3-images.ctmedia.io/media/content/screenshot-2026-05-26-at-162415.png" width="1369">
BTC liquidation history (screenshot). Source: CoinGlass
 Macro events once again drove the market, with US strikes on Iran calling the latest peace deal attempt into question.
WTI crude oil headed toward $95 per barrel, while US stock markets again shook off the concerns, hitting new all-time highs and <a href="https://cointelegraph.com/markets/bitcoin-price-falls-under-77k-as-dow-jones-hits-new-all-time-highs" rel="noopener noreferrer nofollow">continuing a trend of strength</a> seen last week.<img alt="Bitcoin 'liquidation hunts' control BTC at $77K amid new Iran peace deal doubts" height="818" src="https://s3-images.ctmedia.io/media/content/usoil2026-05-2616-24-53.png" width="1134">
CFDs on WTI crude oil one-hour chart. Source: Cointelegraph/TradingView
 Commenting, trading resource Material Indicators said that BTC price action “remains driven by liquidation hunts.”
“Purple Whales are not suddenly flipping macro bullish for fundamental reasons - they are swing trading the range in low timeframes,” it explained in a <a href="https://x.com/MI_Algos/status/2059240031634456663" rel="noopener noreferrer nofollow">post on X</a> alongside a chart of Binance order-book liquidity.&nbsp;
<blockquote>
 “The bid liquidity at ~$75.5k is attempting to protect key support at the 21 WMA.”
</blockquote><img alt="Bitcoin 'liquidation hunts' control BTC at $77K amid new Iran peace deal doubts" height="957" src="https://s3-images.ctmedia.io/media/content/hjpisznxqaauoj6.jpeg" width="1915">
BTC/USDT order-book liquidity data. Source: Material Indicators/X
 Material Indicators referenced Bitcoin’s 21-week simple moving average at $75,800, one of <a href="https://cointelegraph.com/markets/bitcoin-price-slips-under-77k-as-bulls-battle-for-new-macro-bullish-shift" rel="noopener noreferrer nofollow">several nearby trend lines</a> on the radar.
Continuing on the topic, trader Daan Crypto Trades <a href="https://x.com/DaanCrypto/status/2059281285231624403" rel="noopener noreferrer nofollow">noted</a> that the “biggest” cluster of liquidity below price was at $74,000.<img alt="Bitcoin 'liquidation hunts' control BTC at $77K amid new Iran peace deal doubts" height="2409" src="https://s3-images.ctmedia.io/media/content/btc-liquidation-heatmap24-hour-2026-05-26162749.png" width="3285">
BTC liquidation heatmap. Source: CoinGlass
<h2 id="funding-rates-see-sharp-reversal-versus-april">Funding rates see "sharp reversal" versus April</h2>
In a potential warning to bulls, onchain analytics platform Glassnode drew attention to <a href="https://cointelegraph.com/markets/btc-price-tipped-to-attack-80k-shorts-on-iran-peace-deal-five-things-to-know-in-bitcoin-this-week" rel="noopener noreferrer nofollow">rising funding rates</a> on the day.
Related: <a href="https://cointelegraph.com/news/what-happened-in-crypto-today" rel="noopener noreferrer nofollow">Here’s what happened in crypto today</a>
Previously negative, these were now “decisively positive,” it <a href="https://x.com/glassnode/status/2059281127697699099" rel="noopener noreferrer nofollow">reported</a>, as BTC long interest increased.
“The move marks a sharp reversal from April’s heavily short-biased positioning,” Glassnode told X followers.<img alt="Bitcoin 'liquidation hunts' control BTC at $77K amid new Iran peace deal doubts" height="1800" src="https://s3-images.ctmedia.io/media/content/hjqjdwwaaa3c81.jpeg" width="3200">
Bitcoin futures funding rates. Source: Glassnode/X
 Overall trading activity, however, remained comparatively modest, crypto analytics resource K33 Research noted.
“Bitcoin has spent the past week consolidating and trading broadly flat, while activity across crypto markets remains muted. Weekly spot volumes are approaching yearly lows, derivatives activity continues to decline across both CME and offshore venues, and open interest has largely stagnated,” head of research Vetle Lunde wrote in its latest <a href="https://k33.com/research/articles/waiting-and-seeing" rel="noopener noreferrer nofollow">Ahead of the Curve</a> update.&nbsp;
<blockquote>
 “At the same time, realized and implied volatility have drifted toward historically low levels, reinforcing a broader wait-and-see environment with subdued participation and limited market conviction.”
</blockquote><img alt="Bitcoin 'liquidation hunts' control BTC at $77K amid new Iran peace deal doubts" height="595" src="https://s3-images.ctmedia.io/media/content/screenshot-2026-05-26-at-162951.png" width="1105">
Bitcoin historical volatility (screenshot). Source: CoinGlass

Bitcoin 'liquidation hunts' control BTC at $77K amid new Iran peace deal doubts

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