Bitcoin

Bitcoin Price Roars Above $20K, Dollar Losses its Value, Is a Short Squeeze Incoming?

Author: Qadir AK

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Author

Qadir Ak is the founder of Coinpedia. He has over a decade of experience writing about technology and has been covering the blockchain and cryptocurrency space since 2010. He has also interviewed a few prominent experts within the cryptocurrency space.

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Highlights
  • Bitcoin price rebounds finely above $20,000 after undergoing extreme selling pressure in the past couple of days

  • While the crypto space is hoping for a significant upswing and positive moves, some believe the bullish trap has been materialized

Bitcoin pair again grabbed mainstream attention with a huge bullish candle formed in the past few hours. While many predicted the bottoms may be tested again, the crypto asset with the recent bounce, distorted the shorts. However, with the gigantic move, the global market capitalization again raised beyond $1 trillion with a huge rise in the trading volume by nearly 17%. 

The BTC price quickly jumped into action as the DXY Index which denotes the strength of the US Dollar, faced a massive rejection at $110.79 and presently plunge to below $109. Hence more than $50 million in Bitcoin shorts were liquidated in the past 12 hours. 

As Coinpedia reported earlier, the BTC price is on its way to hitting the levels between $22,000 & $23,000. But will it maintain the upswing or faced another major rejection?

A popular analyst, il capo of crypto of Crypto had predicted the upcoming pump much before, but now believes, a short squeeze may be fast approaching. 

A short squeeze is nothing but compelling the traders who have bet on BTC shorts to liquidate their positions, simply by inducing enough buying volume. On the other hand, the altcoin paired with BTC has been correcting heavily while the USDT & USD pairs are gaining traction. 

Bitcoin presently is gaining the spotlight from the other altcoins and hence the star crypto is expected to continue testing the upper resistance, while the major altcoins may follow the suit. However, the daily close needs to be closely monitored which needs to record levels above $19,600 for a continued upswing ahead. 

Else, the Bitcoin (BTC) price may again fall back into the same bearish consolidations, raising speculations of a notable descending trend ahead. 

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Qadir AK

Qadir Ak is the founder of Coinpedia. He has over a decade of experience writing about technology and has been covering the blockchain and cryptocurrency space since 2010. He has also interviewed a few prominent experts within the cryptocurrency space.

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