Bitcoin Breaks Above $80,000 as Short Liquidations Fuel Rebound

Bitcoin's price broke above $80,000 on September 18, following a 5.49% surge from its previous low of $75,560. This move marked a significant rebound for Bitcoin, which had been experiencing volatility in the past few days.

The rally was fueled by concentrated short liquidations and forced buying from bearish positioning. As a result, the daily candle is strongly positive, with its real body covering more than $4,000. The price must now remain above $80,000 to turn the former resistance level into support and reduce the risk of another retreat into the high-$70,000 area.

According to data from crypto.news, Bitcoin's 20-day simple moving average is at $78,150, making it the closest dynamic support following the breakout. The daily relative strength index (RSI) has also climbed to 62.93, above its moving average of 57.38, indicating strengthened upward momentum.

However, analysts caution that a move above 70 on the RSI could signal stronger buying pressure, but may also increase the risk of a short-term pullback if price reaches resistance near $82,000. The immediate bullish path requires a break above the intraday high at $81,258, followed by a sustained move through the $81,500, $82,000 liquidity zone.