TLDR
- Bitcoin briefly reached $75,991 but then pulled back to approximately $74,291 on Tuesday
- Spot Bitcoin exchange-traded funds (ETFs) saw inflows for six consecutive days, amassing a total of $962.8 million since March 9
- A surge in short liquidations, amounting to $485.6 million within 24 hours, contributed to the price increase
- Geopolitical tensions among the U.S., Israel, and Iran are maintaining a fragile market sentiment
- Investors are currently monitoring the Federal Reserve’s upcoming rate decision on Wednesday
Bitcoin has experienced a few days of volatility. The cryptocurrency soared to a high of $75,991 but then retreated to trade at around $74,291 as of early Tuesday morning.
This movement was accompanied by a significant wave of short liquidations, with approximately $609 million in total crypto liquidations registered over the past 24 hours. According to Coinglass data, $485.6 million of this originated from short positions.
Analysts state that the squeeze drove prices up rapidly. However, some are doubtful that this will endure.
“Squeeze-driven moves are typically short-lived without sustained real demand, likely fading from days to a couple of weeks,” said Dominick John, analyst at Zeus Research.
ETF Inflows Provide Underlying Support
In spite of uncertainty, spot Bitcoin ETFs have demonstrated consistent demand. Monday marked the sixth consecutive day of inflows into U.S.-listed Bitcoin ETFs, with $199.4 million added in a single session.
BlackRock’s iShares Bitcoin Trust (IBIT) took the lead with $139.4 million, while Fidelity’s Wise Origin Bitcoin Fund added $64.5 million.
Since March 9, total net inflows into these products have reached $962.8 million. During the same period, Bitcoin increased by 12.5%, rising from $65,960 to approximately $74,250.
Analysts at Presto Research pointed to these inflows, combined with continued corporate buying, as key drivers behind the move. U.S. spot Bitcoin ETFs also saw $767.3 million in net inflows last week, a third consecutive week of positive flows.
Macro Factors Remain in Focus
The ongoing conflict involving the U.S., Israel, and Iran has impacted investor sentiment. On Tuesday, oil prices rebounded above $100 per barrel, with Brent crude at $103 and WTI at $96.03.
Higher energy prices have sparked inflation concerns, which in turn influence how investors allocate their positions across all assets, including cryptocurrency.
On Monday, President Trump urged other countries to assist in addressing disruptions in the Strait of Hormuz. Iran had restricted shipping through this route, which transports about one-fifth of the world’s oil supply.
With continued rumors swirling about the progress of the Iran, Israel, and US conflict, Bitcoin has jumped above $74.4K for the first time in 6 weeks. This bullish momentum has been enough to push FOMO to its highest level since January 2nd.
According to Monday’s social… pic.twitter.com/C00awVqBWI
— Santiment (@santimentfeed) March 16, 2026
Blockchain analytics firm Santiment noted that rumors of diplomatic progress between the U.S., Iran, and Israel contributed to Bitcoin rising above $74,400 for the first time in six weeks.
The Crypto Fear & Greed Index rose five points to 28 on Tuesday, exiting ‘Extreme Fear’ territory for the first time since late January.
The Federal Reserve is scheduled to announce its rate decision on Wednesday. Markets generally anticipate no change in rates, but traders are closely monitoring comments on inflation.
Spot Ethereum ETFs also witnessed $160.8 million in inflows last week, with ETH increasing by 3.28% to $2,315.
