Bitcoin’s Recent Surge Following Strategic Reserve Announcement
Bitcoin’s (BTC) spot price experienced a remarkable increase of 9.5%, climbing from approximately $84,100 to over $94,000 on Sunday. This surge followed an announcement by President Donald Trump, who identified BTC along with four other prominent cryptocurrencies—Ethereum (ETH), Ripple (XRP), Solana (SOL), and Cardano (ADA)—as part of the United States’ strategic crypto reserve.
This significant announcement has resulted in a gap-up opening for the March futures contracts listed on the Chicago Mercantile Exchange (CME). According to data from CME and the charting platform TradingView, the contract opened at $95,000 early today, marking an increase of $9,280 from Friday’s peak of $85,720.
The appearance of this gap signifies a non-traded zone, indicating a price level where no transactions occurred between consecutive trading sessions. This lack of trading activity points to a sudden shift in market sentiment, which, in this instance, has turned bullish following a week of selling pressure.
Historically, gaps tend to be filled as market participants seek to re-establish equilibrium after such disruptions. A prime example of this was observed during the previous week’s sell-off, which saw prices dip below $80,000 and subsequently filled a gap that had formed back in November.
Therefore, the emergence of a new gap between $84,000 and $94,000 suggests that prices may revisit this range in the near future, highlighting the volatility and dynamic nature of the cryptocurrency market.
