Traders Bet Big on Bitcoin Squeeze

Four traders have amassed over $343 million in Bitcoin short positions, with the potential for a 'squeeze' that could boost prices.

The four wallets collectively hold 5,375 BTC worth around $343 million, with liquidation levels ranging from $64,101 to $66,030.

One of these traders has already cut their losses, reducing a short position by about 250 BTC and taking a loss of around $33,400.

The potential for a squeeze occurs when an exchange closes a short position, forcing the trader to buy Bitcoin to cover their losses. This can drive up prices and trigger further buying, creating a self-reinforcing cycle.

Bitcoin's price has been hovering near $64,000, with the July inflation report showing headline prices rising 3.4% from a year earlier.