- Bitcoin touched $104,300, getting close to its all-time high of $109,000, cementing its bullish direction.
- The surge provoked $400 million in short-covering liquidations that fueled additional upward momentum.
- Short squeezes near $97,000 and $101,000 propelled the advance, dramatically changing market sentiment.
Bitcoin has surged to $104,300, confirming the uptrend and solidifying the bullish outlook projected for 2025. The recent surge propels BTC deep into range-high territory, signaling a clear challenge ahead, reaching the all-time high of $109,000. This rally underscores Bitcoin’s leadership in the crypto market.
Analysts Predict Bitcoin’s Bullish Trend to Continue
The Bitcoin’s price surge to $104K prompted a massive liquidation of around $400 million worth of short positions. The steep price increase surprised most traders, including short sellers in particular, and resulted in compelled liquidations on major exchange platforms. The liquidations fueled the rally even more, propelling Bitcoin’s price even higher.
Analysts are closely watching this breakout, viewing it as a potential trigger for BTC to hit new all-time highs. With bearish positions cleared, minimal resistance remains to hinder further gains. The sustained bullish sentiment indicates that Bitcoin may continue its upward momentum in the months ahead.
Bitcoin’s rally is driven not only by technical factors but also by increasing institutional demand and a strengthening macroeconomic environment. The market also sees the potential of incoming ETF inflows in propelling the cryptocurrency even higher. Investors are waiting for BTC to hold its current course of advance or for profit-taking to set off a correction.
Liquidation at $97K Triggers Massive Market Shift
As per CryptoQuant contributor Amr Taha, the rally can also be credited to a sequence of short liquidations on Binance. These liquidations had a major impact in reducing pressure on the downside and reversed market sentiment. So many short positions had been amassed that it provided an optimal environment for a squeeze that pushed the price even higher.
Taha pointed out that the first key liquidation was around the $97,000 level, eliminating about $360 million in short positions. The traders were shorting for a local top, but Bitcoin’s breakthrough of this level resulted in a swift acceleration in price. The movement prompted even more short liquidations and strengthened the bullish wave.
After this surge, BTC dipped briefly below the $101,000 level, where another tight cluster of short positions had been amassed. This laid the ground for a second wave of liquidations that pushed Bitcoin’s price even higher toward the subsequent resistance level. The funding rate for Binance shifted to positive, demonstrating an increase in long positions and a shift in trader sentiment.
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