Bitcoin Surges to Most Overbought Level in Nearly Two Years

Bitcoin has reached its most overbought level in nearly two years, with its Relative Strength Index (RSI) climbing above 80 to readings near 84-86.

This move came on the back of a violent short squeeze that liquidated more than $3 billion in short positions within a single 24-hour window, forcing a cascade of buying that sent prices rocketing toward $80,000.

Prices surged roughly 8% to 12% within just one to two days, breaking out of a consolidation range between $62,000 and $71,000 that had held for weeks.

The catalyst was a textbook short squeeze, with over $700 million in short positions cleared in a matter of hours, contributing to the total liquidation figure crossing $3 billion in a single session.