Bitcoin’s meteoric rise to $87,000 has triggered a massive wave of short liquidations, with bearish traders facing losses exceeding $110 million in the past 24 hours. This price action continues the strong momentum seen in Bitcoin’s recent surge above $85,000, suggesting further upside potential.
Short Squeeze Accelerates Bitcoin’s Upward Momentum
According to data from Coinglass, the total crypto market liquidations have surpassed $200 million, with Bitcoin accounting for $77.33 million. Short positions made up the majority, with $67.04 million in losses as traders betting against BTC were forced to close their positions.
Exchange-by-Exchange Breakdown
Leading cryptocurrency exchanges reported significant liquidation events:
- Bybit: $32.65 million in BTC short liquidations
- Binance: $16.45 million in liquidations
- Gate.io and others: Remaining portion of total liquidations
Technical Analysis and Price Targets
Bitcoin is currently trading at $87,415, showing a 3.65% increase in the last 24 hours. Technical analysts have identified key resistance levels:
- Immediate resistance: $87,000 – $87,400
- Next target zone: $89,000 – $90,000
- Extended target: $92,000 – $93,000
Whale Activity Signals Strong Accumulation
On-chain data reveals significant whale accumulation despite recent market volatility. CryptoQuant data shows increased buying activity from large holders, particularly during recent price dips. This behavior mirrors patterns seen in previous bull runs where whale accumulation preceded major price rallies.
Frequently Asked Questions
What caused the recent Bitcoin short squeeze?
The short squeeze was triggered by Bitcoin’s sudden price surge above $87,000, forcing traders who had bet against BTC to close their positions at a loss, creating additional buying pressure.
How high could Bitcoin go after this squeeze?
Technical analysts suggest immediate targets of $89,000-$90,000, with potential extension to $92,000-$93,000 if momentum continues.
What does increased whale activity mean for Bitcoin’s price?
Historical data shows that periods of increased whale accumulation often precede significant price rallies, suggesting potential further upside for Bitcoin.