Bitcoin’s Soaring High: A Comedy of Errors and Fortunes! 💰😂

What to know:

By Francisco Rodrigues (All times ET unless indicated otherwise)

Ah, Bitcoin! The digital darling that has once again surpassed the mundane records of yesterday, reaching a staggering $111,875 in the early hours of Thursday. One might say it has outdone itself, much like a peacock strutting its feathers in a room full of pigeons. 🦚

In a world where traditional financial markets are grappling with the rising specter of bond yields and the ever-expanding U.S. debt, our beloved cryptocurrency has gallantly gained around 3.8% in the last 24 hours. The broader CoinDesk 20 index, not to be outdone, rose by 4.74%, as if to say, “Look at me, I too can be relevant!”

This rally, dear reader, unfolds against a backdrop of higher yields on U.S. and Japanese government bonds. The 10-year U.S. Treasury yield has risen to 4.6%, while the 30-year has topped 5%. Analysts, with their crystal balls, predict that President Trump’s tax bill could add a staggering $5 trillion to the nation’s debt. Who knew fiscal responsibility could be so entertaining? 🎭

In Japan, the yields on 30- and 40-year government bonds have also hit record highs. The country’s debt-to-GDP ratio stands at a dizzying 234%. QCP Capital has noted that scrutiny is growing, and weak demand for long-dated JGBs has sent yields soaring. It seems the only thing rising faster than Bitcoin is the national debt! 📈

Higher yields on relatively safe investments tend to diminish the allure of riskier assets like stocks and cryptocurrencies. Yet, Bitcoin, with its notorious reputation for volatility, shows no signs of waning demand. The question remains: how long can this rally continue? Perhaps until the next bubble bursts, or until we all decide to invest in tulips again. 🌷

Traders, ever the optimists, have been building large long positions in BTC options. The most open interest is now concentrated at the $110,000, $120,000, and even $300,000 calls for contracts expiring in late June. It appears bullish conviction is alive and well, much like the hope of finding a parking spot in a crowded city. 🚗

U.S.-traded spot bitcoin exchange-traded funds are also basking in significant demand. Total net inflows hit $1.6 billion over the week, and $4.24 billion so far in May. The ETFs’ total net assets have reached a record $129 billion. It seems everyone wants a piece of the crypto pie! 🥧

However, there are whispers of bearish activity lurking in the shadows. “The largest block flow this week continues to be ETH December call spreads, while overnight BTC butterfly positions hint that some traders are positioning for consolidation around current levels,” said Wintermute OTC trader Jake O. Consolidation, not declines, mind you. Perhaps he’s just being polite. 😏

Despite a recent credit downgrade for the U.S., markets are now pricing in a 6-level cut down to BBB+. One must wonder if the markets are simply playing a game of musical chairs, with everyone hoping to find a seat before the music stops. 🎶

In the world of crypto, the HYPE token has taken center stage after a billion-dollar bitcoin trade boosted Hyperliquid’s fundamentals. Pseudonymous trader James Wynn opened a $1.1 billion long on BTC using 40x leverage via Hyperliquid, making it one of the largest on-chain DEX trades ever recorded. Talk about living on the edge! 🏄‍♂️

As we navigate this whimsical world of cryptocurrencies, let us remember: in the grand theater of finance, we are but players, and the show must go on! 🎭

Token Talk

By Shaurya Malwa

The HYPE token is in focus after a billion-dollar bitcoin trade boosted Hyperliquid’s fundamentals.
Pseudonymous trader James Wynn opened a $1.1 billion long on BTC using 40x leverage via Hyperliquid in one of the largest on-chain DEX trades ever recorded.
The position, tied to wallet “0x507,” was entered when BTC was priced at $108K and now sits on over $40 million in unrealized profit.
Wynn booked partial profits early Thursday by closing 540 BTC (~$60 million), to net $1.5 million.
His prior exits were followed by BTC declines, so traders are watching closely, as reported.
Hyperliquid runs on its custom L1, HyperEVM, using the HyperBFT consensus (200K+ TPS) with CEX-level features like real-time order books and deep liquidity — no KYC required.
The platform’s permissionless design and lightning-fast execution are increasingly drawing capital from centralized venues to DeFi, and this trade could set a precedent for whale activity.
HYPE jumped 15% in the past 24 hours on renewed attention and usage-driven speculation.

Derivatives Positioning

Analyzing the liquidations heatmap of the BTC-USDT pair on Binance, the largest liquidations cluster around $108.5K and $106.9K with liquidations worth $143 million and $112.5 million, respectively.
Meanwhile, BTC the options market swells post-breakout, with open interest on Deribit climbing above $34 billion, just shy of the all-time high of $35.9 billion set in December. The bulk of this positioning is centered on the 30 May expiry, which now holds over $9 billion in notional value to become a key date for potential volatility.
Bullish sentiment is clearly in control, with traders aggressively targeting upside via calls. Strikes at $100K, $120K and $150K have attracted particularly large open interest, reflecting growing conviction in a continued rally.
Put/call ratios underscore this shift in sentiment — the 24-hour volume ratio has dropped to 0.49, while the open interest ratio sits at 0.60, indicating a meaningful tilt toward bullish exposure following BTC’s move above $110K.
Near-term options activity is also picking up, with weekly and monthly contracts seeing notable inflows. Traders appear to be positioning for further momentum or short-term price swings in the wake of the breakout.

Market Movements

BTC is up 1.19% from 4 p.m. ET Wednesday at $110,690.36 (24hrs: +4.05%)
ETH is up 6.19% at $2,662.72 (24hrs: +5.23%)
CoinDesk 20 is up 3.64% at 3,348.63 (24hrs: +4.88%)
Ether CESR Composite Staking Rate is unchanged at 3.03%
BTC funding rate is at 0.03% (10.95% annualized) on Binance

DXY is up 0.25% at 99.81
Gold is down 0.26% at $3,305.6/oz
Silver is down 0.83% at $33.17/oz
Nikkei 225 closed -0.84% at 36,985.87
Hang Seng closed -1.19% at 23,544.31
FTSE is down 0.68% at 8,726.62
Euro Stoxx 50 is down 0.96% at 5,402.31
DJIA closed on Wednesday -0.91% at 41,860.44
S&P 500 closed -1.61% at 5,844.61
Nasdaq closed -1.41% at 18,872.64
S&P/TSX Composite Index closed -0.83% at 25,839.17
S&P 40 Latin America closed -1.31% at 2,597.38
U.S. 10-year Treasury rate is down 2 bps at 4.58%
E-mini S&P 500 futures are unchanged at 5,865.50
E-mini Nasdaq-100 futures are up 0.15% at 21,188.50
E-mini Dow Jones Industrial Average Index futures are down 0.17% at 41,875.00

Bitcoin Stats:

BTC Dominance: 63.90 (-0.62%)
Ethereum to bitcoin ratio: 0.02409 (3.52%)
Hashrate (seven-day moving average): 875 EH/s
Hashprice (spot): $58.24
Total Fees: 7.89 BTC / $847,124
CME Futures Open Interest: 160,740 BTC
BTC priced in gold: 33.4 oz
BTC vs gold market cap: 9.47%

Technical Analysis

Bitcoin reached a new all-time high of $111,875 this morning, breaking decisively above the previous peak just above $109,000 set in January.
With a confirmed close above that level and no sign of a swing failure pattern, the bias remains firmly tilted toward continued upside. In the near term, BTC may encounter resistance around the $112,000–$113,000 range, aligning with a trendline drawn from the prior highs in December and January.
However, last week’s consolidation above $100,000 — and the successful reclaim of the previous all-time high — suggest this area is now acting as short-term support.
A pullback below $100,000, especially into the weekly order block, would likely represent a healthy correction within the broader uptrend and could offer a compelling reentry opportunity if further downside is seen.

Crypto Equities

Strategy (MSTR): closed on Wednesday at $402.69 (-3.41%), up 1.73% at $409.67 in pre-market
Coinbase Global (COIN): closed at $258.99 (-0.91%), up 2.78% at $266.20
Galaxy Digital Holdings (GLXY): closed at C$31 (+1.57%)
MARA Holdings (MARA): closed at $15.84 (-2.16%), up 4.42% at $16.54
Riot Platforms (RIOT): closed at $8.84 (-1.01%), up 3.39% at $9.14
Core Scientific (CORZ): closed at $10.78 (-1.28%), up 1.48% at $10.94
CleanSpark (CLSK): closed at $10.11 (+4.23%), up 4.65% at $10.58
CoinShares Valkyrie Bitcoin Miners ETF (WGMI): closed at $17.75 (-1.33%)
Semler Scientific (SMLR): closed at $44.89 (+7.19%), up 6.01% at $47.59
Exodus Movement (EXOD): closed at $32.76 (-5.07%), unchanged in pre-market

ETF Flows

Spot BTC ETFs:

Daily net flow: $607.1 million
Cumulative net flows: $43.35 billion
Total BTC holdings ~ 1.19 million

Spot ETH ETFs

Daily net flow: $0.6 million
Cumulative net flows: $2.61 billion
Total ETH holdings ~ 3.49 million

Overnight Flows

Chart of the Day

The chart shows bitcoin open interest has hit a new all-time high.
Most OI is concentrated on major centralized exchanges, with Hyperliquid showing solid growth.