Why Is Crypto Up Today? Oil Prices Drop, Short Sellers Squeezed, and Bitcoin Reclaims Key Level After 45 Weeks

Bitcoin just broke a barrier it had failed to clear four times in a month, and three forces collided on the same morning to make it happen. Understanding which of those forces can last tells you whether this rally has…

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Bitcoin (CRYPTO:BTC) is trading at $84,702, up 5.3% in the past day after hitting $85,000 for the first time since January. Ethereum (CRYPTO:ETH) rose 5.4% to $2,724, XRP (CRYPTO:XRP) climbed 6.4% to $1.47, and Solana (CRYPTO:SOL) rose 6.6% to $115.

Meanwhile, BNB (CRYPTO:BNB) is up 3.9% to $781, Zcash (CRYPTO:ZEC) gained 4.5% to $1,505, Hyperliquid (CRYPTO:HYPE) rose 4.7% to $95, and Monero (CRYPTO:XMR) increased by about 13%. Overall, the entire crypto market is in the green.

Just days earlier, on September 16, the Fed raised interest rates, a day after the Senate blocked the CLARITY Act, while Bitcoin was hovering around $76,000. So, what changed? The answer lies in three main factors that developed between September 18 and September 21: a drop in oil prices, a strong weekly close for Bitcoin, and a surge in short sellers.