Bitcoin reclaimed the $80,000 mark for the first time since late January, briefly spiking to an intraday high of $80,529 and hitting its highest level since Jan. 31. The milestone mattered: after weeks of recovery from a rocky Q1, $80,000 had emerged as a nearby psychological ceiling for the market.
The immediate catalyst came from Washington. In a Truth Social post on Sunday, former President Donald Trump unveiled “Project Freedom,” a plan he said would escort ships stranded by the partial closure of the Strait of Hormuz. Describing the effort as a “humanitarian gesture” for neutral countries affected by the US‑Israeli conflict with Iran, Trump said the US would “guide their Ships safely” through restricted waterways so commerce could resume. The initiative, set to begin Monday, could involve guided‑missile destroyers, more than 100 aircraft and roughly 15,000 service members; Iran criticized the plan as a potential violation of a ceasefire. “They are victims of circumstance,” Trump wrote of the stranded crews, adding that any interference “would have to be dealt with forcefully.”
Markets didn’t interpret the announcement as the eradication of Hormuz risk, but as a concrete de‑escalation path after weeks in which blocked shipping and elevated energy risk had dented risk appetite. That clearer outlook reduced immediate uncertainty, putting upward pressure on risk assets including Bitcoin.
Derivatives activity amplified the move. CoinGlass data shows $356.55 million in crypto liquidations over 24 hours, dominated by $303.88 million in short liquidations versus $52.66 million in longs. Bitcoin led the charge with $170.69 million liquidated, followed by Ethereum at $91.60 million — a profile consistent with a moderate short squeeze as forced buys pushed prices higher while BTC cleared the $80,000 area.
Institutional flows added real support. US spot Bitcoin ETFs posted a fifth consecutive week of inflows, bringing in $153.87 million last week, according to SoSoValue — a sign that the advance wasn’t merely a headline‑driven spike but also reflected ongoing allocation by larger investors.
At press time, BTC was trading around $79,865.
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