Bitcoin Tops $85,111 as $648M in Crypto Shorts Liquidated; ETF Inflows Hit Record Low

Bitcoin surged to $85,111 on September 21, up 5.7% in 24 hours, breaking a week-long resistance band as $648 million of $770 million in total crypto liquidations came from short positions, according to CoinGecko and CoinGlass data. The rally followed the Federal Reserve's fully anticipated rate hike and the Senate's rejection of the Clarity Act. Spot Bitcoin ETFs ended the week with a net inflow of just $6.2 million — their smallest since launch — after shedding $746 million Tuesday-Wednesday and recovering $592 million Thursday-Friday, per SoSoValue. The 10-year Treasury yield touched 5.014% on September 14 before easing to 4.93%, while Brent crude fell to a half-month low. Nexo analyst Iliya Kalchev attributed the move to exhausted sellers and a "sell the rumor, buy the news" setup. CoinShares' James Butterfill cautioned that the Fed's dot-plot removal of easing through 2027 supports the dollar and delays liquidity conditions Bitcoin needs. Upcoming catalysts include PCE data on September 30, jobs on October 2, and CPI on October 14.