Key Insights:
- Bitcoin breaks out of the descending wedge, setting up a potential move toward the $115K–$120K range.
- Over $15B in BTC short positions risk liquidation if price pushes through the $120K zone.
- A CME gap remains open near $111K, but it’s not active unless BTC trades below that level.
Bitcoin has broken out of a descending broadening wedge, a price structure marked by two widening trendlines sloping downward. This setup had kept BTC in a series of lower highs and lower lows. The breakout occurred after price moved sharply above the top boundary of the wedge, following a brief period of sideways action.
The move pushed BTC toward the $115,000 zone, where price paused. The breakout zone between $110,000 and $111,000 may now act as a short-term support. If price stays above that area, the setup remains active. Many traders are watching this level closely for signs of either continuation or weakness.
$15B in Shorts Set for Liquidation Near $120K
Data from major crypto exchanges shows a large build-up of short positions above $115,000.
According to Whale Insider,
“$15,000,000,000 in $BTC short positions will be liquidated when price reaches $120K.”
These positions are stacked across platforms like Binance, OKX, and Bybit.
If BTC moves into this range, forced liquidations could trigger additional buying. The result could be a fast move through key resistance. This type of move is often referred to as a “short squeeze,” and it tends to accelerate prices when large positions are closed quickly by the exchanges.
CME Gap Between $110.3K–$111.3K Still Open
Bitcoin futures on CME opened the week with a gap between $110,300 and $111,300. The gap formed as spot prices moved over the weekend while CME markets were closed. Once futures trading resumed, prices jumped above the gap and continued higher.
Daan Crypto Trades commented,
“Don’t think it’s generally in play until BTC starts trading below $111K.”
That level now serves as a rough threshold. If BTC dips under $111,000, the market may attempt to fill the gap. So far, price has stayed above, keeping the gap open but not yet active.
Market Snapshot
At the time of writing, Bitcoin was priced at $111,765, up 2% over the past 24 hours. Over the past week, BTC has moved down 2%, showing mixed performance. Daily trading volume is over $38 billion, reflecting strong activity.
BTC remains above the breakout zone and is still trading near recent highs. With short positions stacked above current price, and bulls holding key levels, traders are watching to see if BTC can reach toward $115,000 — and possibly test $120,000 in the days ahead.
| DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing. |
Source: https://coincu.com/analysis/bitcoin-breakout-confirmed/