Bitcoin rises 6% as short squeeze pushes price toward $75,000 target

Bitcoin jumped more than 5% on April 13, pushing close to $75,000 as traders were caught in a short squeeze that had been building for weeks. The move marked the biggest single-day gain since early March, taking many bearish positions by surprise.

After several days of choppy trading between $68,000 and $75,000, geopolitical developments added momentum. U.S.-Iran tensions escalated this week after a naval blockade hit the Strait of Hormuz, sending oil prices higher and initially pushing Bitcoin down toward $70,000. The decline proved short-lived, and traders who had bet against Bitcoin at those levels were forced out as the price rebounded sharply, triggering liquidations in the $72,000 to $73,500 range.

Strategy’s at-the-market milestone

Strategy reported a major milestone under its at-the-market (ATM) program on April 13. The company’s preferred stock recorded more than $1 billion in single-day trading volume, surpassing the $100 par value threshold required for share issuance. Strategy said the program can now operate at full capacity, generating roughly $796 million in proceeds—enough to buy about 10,834 BTC at an average price near $73,400.

The figures also highlight the scale of institutional buying. Between April 6 and April 12, Strategy reported $1.001 billion in net ATM proceeds, purchasing 13,927 BTC at an average price of $71,902. Execution efficiency improved to 81% from 45% in March, reflecting stronger demand and improved timing.

Strategy currently holds approximately 780,897 BTC at a total cost of about $59 billion. The company has generated over $3.5 billion in total proceeds through its ATM program and remains the largest corporate Bitcoin holder. Future approvals for additional acquisitions are still pending, but the pace of buying has continued.

Institutional activity and market positioning

April 13 also saw notable activity from large market participants. Grayscale’s Bitcoin Trust experienced a trading volume spike as large-scale investors moved to capture the momentum. Coinbase reported trading volumes at levels not seen since early this year, signaling renewed interest from both retail and institutional participants.

On derivatives markets, the Chicago Mercantile Exchange showed a rise in Bitcoin futures activity, with open interest increasing as traders positioned for additional volatility. CME data indicated market participants are betting on continued price swings, with the $75,000 area potentially acting as a near-term reference point.

Bitcoin’s network fundamentals were described as steady, with hash rate near all-time highs and miners continuing to operate despite market volatility. Network security remained strong, supporting resilience during periods of stress in broader markets.

MicroStrategy, led by CEO Michael Saylor, said it plans to increase its Bitcoin reserves following the latest surge. JP Morgan analysts noted on April 13 that Bitcoin’s ability to hold above $70,000 despite geopolitical tensions underscores its growing role as a hedge against traditional market volatility.

Glassnode reported an uptick in Bitcoin wallet activity, with active addresses rising on April 13. The SEC had not commented on these developments at the time of reporting.

Short liquidations and trading dynamics

The short squeeze on April 13 reportedly wiped out about $180 million in bearish positions across major exchanges including Binance, Bybit, and OKX. Coinglass data cited leveraged traders facing margin calls as the price moved past key resistance levels. Funding rates on perpetual futures swung sharply positive, reaching 0.08% on some platforms—the highest since February’s rally. Order books thinned out above $74,000 as market makers struggled to keep pace with demand.

Macro factors behind the move

Macro conditions also supported risk assets. Recent dovish comments from Federal Reserve officials about potential rate cuts later this year provided additional tailwinds for assets including Bitcoin. The U.S. dollar index fell to 104.2 from 105.1 earlier in the week, making Bitcoin more attractive to international buyers.

Gold rose above $2,400 per ounce, reinforcing the narrative of rotation into hard assets amid currency debasement concerns. Treasury yields declined across the curve, with the 10-year yield dropping to 4.52%, a move that has historically supported Bitcoin’s relative appeal versus traditional fixed-income investments.