Bitcoin price breaches $86,000 barrier to touch $87,000

Leading cryptocurrencies rose on Sunday evening following weeks of sideways price action, while stock futures dipped.

Leading cryptocurrencies experienced a surge on Sunday evening, breaking weeks of sideways price action, while stock futures showed a slight decline.

What Happened: Bitcoin broke through the $86,000 barrier and touched $87,000 for the first time in nearly three weeks. Following Bitcoin's breakout, Dogecoin also showed a similar price action.

However, Ethereum failed to gain momentum, and the second-largest cryptocurrency remained in the $1,600 range.

Bitcoin's monthly gains reached nearly 3%, in stark contrast to ETH's 13.26% drop.

The late evening rally pushed the 24-hour liquidations past $220 million, with over $140 million in short positions being erased.

Bitcoin's Open Interest rose marginally by 0.50% in the last 24 hours, indicating a surge in volatility and speculative demand.

The percentage of traders placing bullish Long bets on Bitcoin surged to 55%, according to the Long/Short Ratio, indicating expectations of a sustained rally.

The market sentiment stayed in the "Fear" category, according to the Crypto Fear and Greed Index, although the magnitude dipped compared to the previous day.

Last week also saw some panic in the market after cryptocurrency trading behemoth Binance faced withdrawal disruptions, along with other exchanges. The withdrawals resumed after around 23 minutes.

Top Gainers (24-Hours)

The global cryptocurrency market capitalization now stands at $2.70 trillion, following a slight increase of 0.10% in the last 24 hours.

Stock futures traded lower in the early hours of Monday. The Dow Jones Industrial Average Futures decreased by 158 points, or 0.40%, and S&P 500 Futures dipped by 0.29%, while Nasdaq 100 Futures slid by 0.29%.

Stocks concluded the holiday-shortened week lower as Federal Reserve Chair Jerome Powell expressed concern about inflation and slower economic growth due to Trump's tariff measures.

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Analyst Notes: Popular blockchain analytics firm CryptoQuant stated that the current market movement more likely resembled a "typical correction" than a full bear cycle.

"The previous price increase was relatively modest, indicating limited market overheating, which also suggests the downside risk may be contained," CryptoQuant added.

Retail Dominance Index - Binance vs. Other Exchanges"Binance has had a retail dominance of ~89.6%... higher retail ratio suggests broader retail participation with more activity coming from a range of users rather than being concentrated among a few." - By @JA_Maartun pic.twitter.com/V5iu7Yagnt

Widely followed cryptocurrency influencer Scott Melker, aka The Wolf Of All Streets, stated that Bitcoin needs to rise above $88,804 to break the trend of lower highs and lower lows.

$BTC DailyBreaking through descending resistance from the all time high. Needs to get above $88,804 to break the series of lower highs and lower lows.Is it time? pic.twitter.com/lX0b7rSEe

Photo: Igor Faun/Shutterstock