Crypto Today: BTC price surges past $87K, ETH and SOL shorts fuel $235M in liquidations

The cryptocurrency market capitalization currently stands at $2.82 trillion, reflecting a 1.2% decline in the last 24 hours. Key drivers include fresh Bitcoin acquisitions by institutional players and anticipation for the United States (US) Congress stablecoin legislation review, which enters its second day on Wednesday.

Bitcoin market updates:

• Bitcoin opened trading at $85,158 on Wednesday before surging 2.4% to hit a high of $87,300.
• Corporate adoption remains a dominant narrative, with US-based firm Gamestop announcing plans to issue a $1.5 billion debt note to fund BTC purchases. 

Bitcoin Short-term vs Long-term supply | Source: CryptoQuant

Blockchain analytics platform published charts showing publicly traded companies added 91,781 BTC to their balance sheets in Q1 2025, despite Bitcoin price falling 15% from $94,400 to $82,400 during that period. 

Chart of the day: BlackRock’s IBIT ETF sees $20M inflows

Bitcoin exchange-traded funds (ETFs) extended their outflow streak to three successive days, posting $157.8 million withdrawals on Tuesday, per data from analytics platform Farside. 

Bitcoin ETFs Netflows | Source: Farside

BlackRock’s IBIT ETF investors remained neutral, while Fidelity and Ark Invests (ARKB) led the sellers with $85 million and $87.4 million outflows, respectively. Bitwise’s (BITB) shares saw $24.5 million to emerge as the only ETF with a positive showing on Tuesday. 

The divergent trading patterns among the ETFs this week show that investors are deploying different portfolio strategies rather than responding to a dominant bearish catalyst. 

Altcoin market updates: ETH, SOL traders crushed in $235M liquidation wave

Bitcoin (BTC) continues to lead the market, trading as high as $87,300, while altcoins saw mixed fortunes. The global cryptocurrency market capitalization stands at $2.82 trillion, reflecting a 1.2% decline over the last 24 hours.

Crypto Spot market performance

From the top altcoins listed in the market capitalization rankings:

• Ethereum (ETH) trades at $1,865, down 0.2% in 24 hours and 0.7% over the week.
• Solana (SOL) is priced at $126, down 1.0% daily and 13.0% weekly, reflecting recent sell pressure.
• Binance Coin (BNB) is struggling at $600, losing 2.3% weekly, despite a relatively flat intraday performance.
• Dogecoin (DOGE) is among the worst hit, falling 15.8% in the past seven days but showing some resilience with a 0.1% daily gain.
• Cardano (ADA) trades at $0.68, with a 1.1% weekly gain, making it one of the better-performing large-cap altcoins.

Crypto spot market performance | April 2 | Source: Coingecko

Coingecko data shows that major altcoins are trading sideways on Wednesday with Ethereum, Solana, and Dogecoin facing the most selling pressure over the past week, while Cardano remains stable.

Crypto Derivatives market analysis

According to the liquidation heatmap and liquidation data:

• The largest liquidations occurred in Bitcoin (BTC) at $70.67 million, followed by Ethereum (ETH) at $42.05 million.
• Altcoin liquidations totaled approximately $110 million, with Solana (SOL) contracts accounting for $8.38 million and XRP positions crossing $7.5 million.

Crypto Derivatives Market Performance, April 2, 2025 | Source: Coinglass

• 24-hour total liquidations reached $235.14 million, where shorts accounted for $106.98 million, indicating a short squeeze led by Ethereum and Solana.

Market outlook

The high level of short liquidations on Ethereum and Solana comes after it was announced that defunct exchange FTX would begin repayments on May 30, with 99% of all defunct exchanges on-chain assets held on Ethereum and Solana blockchains, according to Arkham data.

If Bitcoin price continues its strong uptrend, further short squeezes could drive additional price gains for altcoins. 

Crypto news updates: 

• CoinShares reports details on how Trump’s tariffs could impact crypto

A new report from CoinShares analysts examines the potential effects of  US President Donald Trump’s proposed tariffs on the cryptocurrency market. 
James Butterfill, a market analyst, noted that Bitcoin’s correlation with the NASDAQ currently stands at 40%, down from its peak of 72%. 

While Ethereum and altcoins remain closely linked to the tech sector, the report cites Bitcoin’s ability to decouple—seen during the 2023 banking crisis—suggesting that tariffs could reinforce its long-term hedge appeal.

As global markets react to shifting trade policies, CoinShares analysts emphasize that tariff-driven economic instability could reshape Bitcoin’s role in investor portfolios.

• Franklin Templeton explores crypto ETP launch in Europe after BlackRock’s entry

Franklin Templeton is considering launching a cryptocurrency exchange-traded product (ETP) in Europe, following BlackRock’s recent debut of a Bitcoin ETP in the region.

The firm, which manages a leading crypto ETF franchise in the US, is evaluating market conditions and regulatory frameworks before making a decision.

The move signals Franklin Templeton’s continued expansion into digital assets as institutional demand grows.

The company emphasized its commitment to innovation across all asset classes and stated that it remains actively engaged in exploring opportunities within the cryptocurrencies sectors.