Key Moments
- Bitcoin (BTC) trades back above $71,000 as tensions in the Middle East ease following a US-Iran ceasefire arrangement.
- Roughly $596 million in crypto positions are liquidated in 24 hours, including $430 million in shorts, as risk appetite returns.
- Zcash (ZEC), LayerZero (ZRO), and Bitcoin SV (BSV) post double-digit daily gains, with key technical levels turning supportive.
Macro Backdrop Supports Risk-On Turn
Bitcoin (BTC) moves back above $71,000 at press time on Wednesday, with the broader digital asset market buoyed by an improving risk tone after the announcement of a US-Iran ceasefire. The shift in sentiment lifts cryptocurrencies across the board and drives a sharp squeeze in bearish positions.
The market’s upswing follows the transition of a high-stakes 48-hour deadline set by US President Donald Trump into a two-week ceasefire agreement, alongside the immediate reopening of the Strait of Hormuz under military management.
Further talks aimed at finalizing a peace agreement are scheduled to begin on Friday in Islamabad, Pakistan. An Iranian official notes that the 10-point framework includes reopening the Strait of Hormuz under Iranian military oversight, and stresses that discussions with the US do not automatically end the war. The official adds that the final configuration of the 10-point plan will ultimately determine the outcome of the conflict, as previously reported by FXStreet.
Derivatives Data: Short Liquidations and Rising Open Interest
Data from CoinGlass shows that total crypto liquidations over the last 24 hours amount to $596 million. Short positions bear the brunt of the move, with $430 million in bearish bets wiped out as prices move higher.
At the same time, futures Open Interest in Bitcoin, Ethereum, Solana, and XRP increases by between 5% and 10%. The long-to-short ratio rises above 1, signaling a greater concentration of active long positions versus shorts across major contracts.
Technical Picture: ZEC, ZRO, and BSV Lead the Upside
Zcash (ZEC) Extends Breakout Above Key Moving Averages
Zcash (ZEC) trades above $300 at press time on Wednesday after rallying 27% in the previous session. The short-term technical tone turns decisively bullish as price drives through the cluster of the 100-day and 200-day Exponential Moving Averages (EMAs), which now sit well below the current market, highlighting a developing uptrend.
Momentum indicators confirm the constructive shift. The Moving Average Convergence Divergence (MACD) reading is firmly in positive territory, with the MACD line extending above the signal line. The Relative Strength Index (RSI) holds near 71, indicating strong buying interest even as ZEC enters overbought conditions.
The recovery in ZEC is now approaching the February 14 high at $333, which acts as immediate overhead resistance. A sustained daily close above $333 could open the way toward the $400 round number.
On the downside, the 200-day EMA at $278, in close proximity to the 100-day EMA at $273, forms a key support area that may attract dip buyers if prices pull back.
| Asset | Key Resistance | Key Support |
|---|---|---|
| Zcash (ZEC) | $333 (February 14 high), then $400 | $278 (200-day EMA), $273 (100-day EMA) |
| LayerZero (ZRO) | $2.59 (last tested February 11) | $2.00 (psychological level), $1.92 (50-day EMA) |
| Bitcoin SV (BSV) | $19.38 (200-day EMA) | $16.90 (broken trend line), $15.30 (50-day EMA) |
LayerZero (ZRO) Holds Above $2.00 After Sharp Jump
LayerZero (ZRO) reclaims the $2.00 handle following an approximately 18% advance on Tuesday. At the time of writing on Wednesday, ZRO trades above $2.00 and retains the bulk of its prior session gains. The near-term stance is cautiously positive, supported by price action holding above the rising 50-day, 100-day, and 200-day EMAs.
Momentum begins to improve following a recent correction, with the MACD turning higher toward the signal line, suggesting that selling pressure is beginning to subside. The RSI reads 55, which is more consistent with a recovering bullish impulse than with an overbought market.
On the upside, the first notable resistance level is located near $2.59, which was last reached on February 11.
If ZRO slips back under $2.00, initial support is seen at the 50-day EMA around $1.92.
Bitcoin SV (BSV) Confirms Breakout Above Trend Resistance
Bitcoin SV (BSV) changes hands above $17 at press time on Wednesday after pushing through a descending resistance trend line near $16.90 and clearing the 100-day EMA in the previous session.
The MACD line remains above both its signal line and the zero line, with a growing positive histogram that points to strengthening bullish momentum. The RSI trades around 66, staying just below overbought territory and reinforcing evidence of sustained buying interest.
On the topside, another daily close above recent breakout levels would further validate the move and could allow the advance to extend toward the 200-day EMA at $19.38.
On the downside, the broken trend line around $16.90 now acts as initial support. If a deeper retracement develops, the 50-day EMA near $15.30 is the next notable support zone to watch.
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