The price of Bitcoin climbed several hundred dollars from $40,000 to $60 million in just two days, with BTC beating out sellers to liquidate $60 million of shorts. Dec. 3 was a steady day for bitcoin with gains over the weekend strengthening a “strong” upward movement.
Bitcoin leaves $60 million in shorts hanging
Cointelegraph Markets Pro and TradingView data showed a significant BTC price rise, taking BTC/USD to new 2023 highs of $39,730. These added to the rising trend that had begun days before, when Bitcoin reached $39,000 for the first price since mid-2022. Commentators claimed that with derivatives leading towards the end of the Wall Street trading week, spot buyers needed to step up to maintain momentum. Finally, events took an unexpected turn, with a quick surge across Bitcoin and altcoins wiping off earlier resistance. Skew, a famous trader, indicated on X (previously Twitter) that “someone just ran all shorts across the board seemingly on most pairs.” However, after analysing the current situation, fellow trader Daan Crypto Trades projected that this time will be different.”Whenever $BTC is in a strong trend (up or down), particularly when trading at yearly highs or price discovery.” Weekend moves tend to break out and leave a large number of individuals behind. “Often leaving a gap that is never closed or not until weeks later,” an X post explained.
“Trading the CME price no longer has a significant advantage during strong trending environments.” It’s fantastic when there’s a sideways chop, but not like this.” According to Daan Crypto Trades, the area surrounding the Friday closing price provided a chance to “trap” shorts. “I did not share the usual CME chart because I believed a large move would occur over the weekend.” So far, the suspicion has proven to be right, and anyone attempting to short this move would have been rekt,” he added. According to CoinGlass figures, over $30 million in BTC shorts were liquidated on both December 1 and December 2.
BTC price in “all-the-way-UP mode”
Meanwhile, with $40,000 in sight, market participants focused on bullish signs on longer horizons. According to famous Twitter commentator Alan Tardigrade, BTC/USD had broken out of a downward channel that had been in place since its all-time high of $69,000 in November 2021. “Bitcoin has entered All-the-Way-Up mode,” he said, referring to a chart that demonstrated how recent BTC price movement had decisively abandoned the trend. BitQuant, a fellow commentator known for his bullish views on Bitcoin in the current context, predicted a return to the highs before “some correction” took hold. Both points of view mirrored prior Bitcoin bull markets. BitQuant made the audacious prediction in September that BTC/USD would break new highs before the next block subsidy halving in April 2024 just four months away.