Bitcoin Tries to Conquer $83,000 as Sellers Remain a Threat

Bitcoin's price surged past $80,000 for the first time since September 7, closing at $80,875 on September 18 and $81,214 on September 19. This breakthrough was largely driven by forced buying, with exchanges liquidating about $170 million in short positions as Bitcoin crossed the $80,000 mark.

The influx of fresh demand into spot Bitcoin ETFs also played a significant role in the rally, with $592.5 million flowing in from September 17 to 18, including an impressive $433 million on September 18. This buying pressure has diminished since short positions in that price band have been exhausted.

However, the cryptocurrency's ability to close above $83,000 remains uncertain. Since August 25, sellers have consistently pressured Bitcoin lower at this resistance level, with four rejections occurring since then. The key focus for traders now lies between $83,000 and $86,000, making a daily close above $83,000 crucial for establishing the permanence of the breakout.