Over $530 million in Bitcoin ($BTC) short positions were liquidated today as the White House nominated pro-Bitcoin Kevin Warsh as Federal Reserve Chairman, triggering a broad crypto market rally.
Bitcoin is up by 9% in 12 hours, adding $123 billion to its market cap. Ethereum ($ETH) climbed 11% over the same period, adding $26 billion.
Bitcoin Short Sellers Caught Offguard As White House Officially Nominates Pro-$BTC Fed Chair
Bitcoin reclaimed the $73,000 psychological level and was trading for $73,413 as of this writing.
Bitcoin Price Performance. Source: TradingView
The move forced a cascade of short liquidations across derivatives markets, with Coinglass data showing nearly $30 million in short positions blown out over the past hour. This brings total liquidations to $530 million over the last 24 hours.
The move caught short sellers exposed. Traders betting against $BTC and $ETH were squeezed out as prices rose sharply, amplifying upward momentum through forced buybacks.
Warsh Nomination Serves as Macro Catalyst
The policy trigger behind the rally came from Washington. The White House officially nominated Kevin Warsh, a former Federal Reserve Governor widely regarded as sympathetic to digital assets, to serve as Fed Chairman for a four-year term.
“Kevin Warsh, of Florida, to be Chairman of the Board of Governors of the Federal Reserve System for a term of four years. Kevin Warsh, of Florida, to be a Member of the Board of Governors of the Federal Reserve System for a term of fourteen years from February 1, 2026,” read the announcement.
Meanwhile, the divergence between Bitcoin and traditional safe havens widened. Bitcoin is up by almost double digits, while Gold fell 3%. This stark contrast suggests capital rotation from traditional stores of value into digital assets.
Since yesterday:
Bitcoin: +11%
Gold: -3%
Wild.
— Velo (@velo_xyz) March 4, 2026
The Warsh nomination and Saylors public stance, indicating potential for buying more $BTC than sellers can offload, point to a market increasingly driven by macro policy expectations and institutional positioning.
We can buy more Bitcoin than they can sell.
— Michael Saylor (@saylor) March 4, 2026