Crypto’s Latest Rebound Was Fueled By Fresh Liquidations

(Bloomberg) — A fresh wave of liquidations in bearish bets — this time on Ether, the second-largest cryptocurrency — drove Friday’s brief rally.

Prices of most digital assets spiked as financial markets were whipsawed by a deluge of US economic reports and retreating oil prices. The moves were reminiscent of the volatility at the end of August, where a surge in Bitcoin helped to unleash the biggest wave of short liquidations on record going back to 2021.