Bitcoin rose nearly 2% to above $89,500, hitting a two-week high and hinting at a potential year-end rally. Other cryptocurrencies also gained, with Ether and Solana rising around 2%. Analysts said the rise is partly driven by short-term retail traders increasing futures positions, contributing to broader bullish sentiment in the market, as reflected by the Bitcoin funding rate hitting its highest level since October 18, signaling stronger demand for long positions. Open interest in Bitcoin futures has recovered from recent lows, though it remains well below peaks seen during record highs in October. Bitcoin is still on track for a 4% annual decline, even amid growing institutional adoption and policy wins under pro-crypto President Donald Trump this year. The wider crypto market continues to struggle following a multi-week selloff starting in October, triggered by $19 billion in liquidated leveraged positions.
