Bitcoin (BTC) climbed back above $80,000 around Friday's Wall Street open as fuel-crisis concerns rippled through global markets and pushed US bond yields back to the upside.

Key points:

• Bitcoin gained 6% on Friday as worries over oil supply saw US bond yields reverse higher.
• Crypto markets liquidated roughly $250 million in short positions over four hours.
• BTC price momentum now faces familiar resistance levels first encountered in May.

BTC surges 6% as US bond yields turn upward

Data from TradingView showed BTC/USD filling pockets of upside liquidity to reach local highs of $81,034 on Bitstamp. A cluster of short positions above the spot price came under fire as a result — per data from CoinGlass, cumulative cross-crypto short liquidations sat near $250 million over four hours. Short liquidations are forced buybacks: when rising prices push leveraged bearish traders past their margin limits, exchanges automatically close the positions, generating buy-side orders in the process.

The oil market provided the macro backdrop for the move. US WTI crude fell to lows of $94.8 per barrel, only to begin climbing again during the Asian trading session, and was circling $98 at the time of writing.

In a report published on Friday, the International Energy Agency (IEA) warned that countries may have no choice but to cut usage. In March, the IEA released 400 million barrels from its emergency reserves amid the closure of the Strait of Hormuz.

"Prices for crude and oil products had eased from their April peaks in the months that followed as emergency IEA stocks were released, Strait of Hormuz bypass routes boosted Middle East exports, producers outside the region raised output, flows out of the Persian Gulf partially recovered and global demand softened," the agency wrote.

"But if Gulf supplies remain constrained in the coming months and commercial inventory buffers continue to deplete rapidly, higher prices and further demand reductions may be required to close the supply-demand gap."

The report calculated oil flows through Hormuz at 7.6 million barrels per day in August — 13.1 million barrels below the daily tally recorded before the US-Iran war.

US bond yields once again rose amid the oil uncertainty. The US 30-year yield reached 5.34% on the day, an increase of 90 basis points. Earlier, Cointelegraph reported that rising yields in multiple nations were forcing central banks to raise interest rates — a move seen in both the US and Japan this week. Per the same report, those multidecade-high bond conditions coincided with BTC's slide to a September low near $75,600 — putting Friday's local high roughly $5,400 above that floor.

Analyst: Bitcoin price faces key breakout test next

Commenting on low-time frame BTC price action, trader and analyst Rekt Capital said that bulls now faced a "moment of truth." A chart uploaded to X identified $82,000 as a key level for BTC/USD to break through, with failure constituting a double rejection pattern alongside the price action that ended the mid-May rebound.

Bitcoin's latest upside also saw it reclaim its True Market Mean — the aggregate cost basis of all coins acquired on secondary markets — which currently sits at $76,660.

"That puts price back above a crucial level and back into a bullish regime," onchain analytics platform Glassnode told X followers on Friday.

The cost basis for Bitcoin's corporate treasuries, meanwhile, lies at $80,500, further reinforcing the significance of the current local range. With spot hovering just above that line, aggregate corporate holdings sit marginally in profit at current prices.

Source: Cointelegraph