Bitcoin reclaims $70,000! ETF fund inflows + short squeeze, is a breakout imminent? Bitcoin's price has rebounded strongly under multiple positive catalysts, regaining the psychological threshold of $70,000. During Monday's Asian session, the price briefly surged to $71,852, a significant rebound from the low of around $60,000 the previous week. As of press time, Bitcoin is trading at $70,847, with market sentiment clearly recovering. Previously, Bitcoin continued to weaken due to macroeconomic and geopolitical shocks, including hawkish expectations brought by Kevin Warsh's nomination as Federal Reserve Chair and risk-averse sentiment triggered by the US fiscal deadlock, which led to a temporary price bottom. The Fear and Greed Index once dropped to 6, indicating extreme panic among investors. One of the direct drivers of this rebound is ETF fund reflow. Data shows that on February 6, spot Bitcoin ETFs recorded approximately $371 million in net inflows, ending a previous three-day outflow exceeding $1.2 billion. Institutional funds re-entering the market are seen as an important signal of short-term sentiment recovery. Meanwhile, Japanese Prime Minister Sanae Takaichi won the election and launched a large-scale fiscal stimulus plan, boosting global risk assets and providing an external environment conducive to Bitcoin's rebound. On-chain data also shows rapid short squeeze. In the past 24 hours, nearly $180 million in short positions were forcibly liquidated, nearly six times the amount of long positions. The passive buy pressure from short covering further amplified upward momentum. From a technical perspective, Bitcoin has returned above $70,000, with initial bullish crossover signals appearing on the MACD, but the Aroon indicator still shows that downward pressure has not fully dissipated. If the price can stabilize and push above the $74,500 region, a larger upward space may open; if momentum remains insufficient, a retest of key support levels cannot be ruled out. In the short term, ETF fund movements, macro policy changes, and derivatives liquidation pace will continue to be the core variables influencing Bitcoin's trend.