Bitcoin’s price surged past $88,500 on Wednesday, propelled by a wave of buying amidst news that the Trump administration had not finalized its “Liberation Day” tariffs. This unexpected rally came after previous gains in April from news that Israel, Mexico, and India have already backtracked on their tariffs on US imports or pledged to avoid retaliatory measures. traders are now focused on whether this new bullish momentum can break through a multi-month resistance at the $88,500 level, where it has consistently been rejected in past rallies. Market data shows a significant spike in short liquidations of over $145 million in the last 12 hours, with $69.4 million being Bitcoin shorts. CoinGlass and other market analytics firms are pointing to these bearish positions as playing a key role in the recent price surge. The past few months have seen Bitcoin struggle to maintain gains from rallies driven by leverage. However, this is not just a short-term trend. Recent rallies coincided with strong spot market demand and an increase in Coinbase Pro premium, leading some analysts to suggest that institutional buying from companies focused on building Bitcoin reserves could be contributing to the sustained rally. In recent weeks, GameStop, MARA, Metaplanet, and Strategy have all announced plans to buy more Bitcoin, with GameStop poised to purchase $1.5 billion worth of BTC, and Strategy actively adding to its own position. While the short-term impact of this bullish momentum is likely to be influenced by sustained spot buying activity at Binance and Coinbase Pro, it’s also critical to monitor the broader market response to President Donald Trump’s “Liberation Day” tariffs. This article provides information about market trends and shouldn’t be considered investment advice. All investments carry risk, so readers should conduct their own research before making any financial decisions.