Bitcoin Climbs Near September Highs as Shorts Pile Up Above $90,000
Bitcoin (BTC) edged closer to its September highs on Monday, reaching around $86,300, just shy of its peak close of $86,597 on September 21. The cryptocurrency's price has been steadily climbing, up over 3% for the week and 1% in the past 24 hours. Retail sentiment has shifted from bearish to neutral, though overall chatter remains low.
Analyst James Check of Checkonchain noted that Bitcoin's rise has been driven by spot market buyers rather than leveraged traders. Futures leverage continues to decline, and funding rates remain below 4% annually, indicating limited appetite for borrowed bets. Long-term holders have largely stayed on the sidelines, contributing to the measured ascent.
Glassnode identified a significant liquidation cluster near $90,000, where leveraged shorts could be forced to close positions, potentially amplifying a breakout. Smaller clusters exist at $83,000 and $75,000, which could also accelerate movements in either direction. This concentration of leverage above current prices sets the stage for a sharper move if Bitcoin breaks higher.
Glassnode highlighted that long-term holders have remained profitable throughout this cycle, a departure from past bear markets where this group typically faced losses. Analyst Michaël van de Poppe echoed this sentiment, noting that the current bull market's upside has been smaller than previous cycles, suggesting a different dynamic at play. Adam Back, CEO of Blockstream, pointed out that Bitcoin's 200-week moving average has risen to $66,000, serving as a long-term floor for the cryptocurrency.