Bitcoin's Price Surge: Short Liquidations Top $122M as ETF Demand Returns
Bitcoin's recent price surge saw it reach $86,857 on Bitstamp, its highest level since September 23. This move was accompanied by a significant increase in short liquidations, with a total of $122 million over 24 hours.
The breakout cleared a concentration of sell orders near $85,000 that had been limiting price action throughout the week. However, without data on open interest, funding rates, or quantified leverage build-up, it's unclear whether this move is supported by broader buying or simply a fragile position unwind.
Despite the lack of clarity, Glassnode noted that reduced ask liquidity above $85,000 should allow prices to move faster. Additionally, the disappearance of visible sell orders may not guarantee sustained demand.
In related news, US spot Bitcoin ETFs recorded net inflows of $102.7 million on October 1, with BlackRock's IBIT taking in $195.6 million and Fidelity's FBTC and Grayscale's GBTC recording outflows of $60.7 million and $31.4 million respectively.
However, these inflows remain below the late-September surge, which saw US spot Bitcoin ETFs take in $999.0 million on September 21 and $714.7 million on September 22.