Bitcoin Price Spikes to ‘$26K’ in USDC Terms — How High Can the BTC Short Squeeze Go?

Crypto traders are celebrating after Bitcoin (BTC) bounced from its recent lows near $23K and quickly restored to the pre-USDC depeg level. The price stood at just above $26K at press time, re-testifying BTC’s incomparable resilience and staying power.

Why the USDC Matters for Bitcoin

The U.S. Dollar Coin Index, or USDC, is a weighted index of the exchange rate between the U.S. dollar and Bitcoin, so whenever the USDC reconnects to the U.S. dollar, Bitcoin’s value is automatically restored. Recently, the USDC was depegged from the U.S. dollar, and Bitcoin dropped as a result.

The bounce back to $26K marks a complete restoration of the U.S. dollar’s link with the cryptocurrency, validating the stability and staying power of Bitcoin’s market in the face of the USDC’s disconnexion.

How high can the BTC Short Squeeze Go?

Traders are now asking how far Bitcoin can go from here. A short squeeze could cause the BTC price to spike even higher, and many analysts think that the currency has room to go even further.

Of course, predicting future prices is never easy. The cryptocurrency markets are unpredictable and the value of Bitcoin could go either way from here.

Nevertheless, it’s clear that Bitcoin has weathered a storm, and the success of its USDC reconnection is great news for all crypto fans.

Featured Image: Bitcoin bouncing from its recent lows near $23K