Bitcoin Surges to New August Highs
- Bitcoin hits new highs in August as short positions face losses.
- Some predict an initial dip could lead to a rise to $120,000.
- The CME gap at $116,500 is being watched closely for potential movement.
As the end of a “decisive” week approached, Bitcoin (BTC) was nearing $119,000, and traders were anticipating a strong market ahead.
Anticipation of a Major Short Squeeze
According to data from Cointelegraph Markets Pro and TradingView, BTC/USD reached $118,760 on Bitstamp, marking a new peak for August. Weekend trading outside typical business hours has led to significant liquidations, with reports indicating around $350 million in the last 24 hours, as per Coinglass.
Market forecasts suggest further growth could be on the horizon for the upcoming week. One analyst noted, “BTC is at a turning point around ~117,200,” while emphasizing the importance of the week’s transition.
“Bitcoin is just hours away from the end of a pivotal week.”
Price fluctuations over the weekend often reverse when traditional financial markets open again; however, there’s a rather optimistic sentiment brewing. A trader suggested that a small upward move has already caused over $1.8 billion in short liquidations, hinting at ample potential profit for those holding positions. Yet, there was also caution when predicting that BTC might see a slight dip initially before possibly surpassing $120,000.
Charts comparing BTC/USD suggest that the current bull market aligns with breakout projections. Another trader echoed the $120,000 target, linking it to the anticipated short squeeze.
$BTC’s next move is seen heading toward $120,000. A significant liquidity pool is just above.
Good luck to anyone shorting here; it might be a tight spot.
CME Gap at $116,500 in Focus
Meanwhile, Crypto Investor Ted Pillows discussed how the price actions in Bitcoin futures continue to reflect the ongoing “gap.” He mentioned, “The CME gap is around $116.5k and it seems likely we will reach it soon.”
“This week, BTC dropped $2,000 to fill last week’s CME gap, after which it managed to push toward new all-time highs.”
Yet, another trader observed that recent activity felt more chaotic than definitive. With much attention on altcoins, he noted that Ethereum (ETH) seems to be breaking its cycle highs.
If BTC can clear $120K again, it will certainly grab the spotlight.
This article does not constitute financial advice. All investment and trading activities carry risks, and readers should conduct their own research before making any financial decisions.
