Dogecoin leads market rebound with 15% pump, bitcoin steady above $85,000

Bitcoin held just above $85,600, flat over the past hour after adding roughly 5% over 24 hours. Most of that move came from traders being forced out of bets against it.

Just over $1 billion of crypto positions were liquidated over the past day, according to CoinGlass, and $844 million of that, or 82%, belonged to short sellers. Roughly 135,000 traders were closed out.

A short position profits when a price falls. Traders who borrow to take one must post collateral, and when the price rises far enough that the collateral no longer covers the loss, the exchange buys the asset back on their behalf. That buying lifts the price again and pushes the next tier of shorts over their threshold.

Bitcoin accounted for about $608 million of the day's total and ether $181 million. The largest single liquidation was a nearly $21 million bitcoin position on Hyperliquid.