Bitcoin Breaks Out, Records Spectacular Surge To 6-Month High Of $24.9k!

Bitcoin, the world’s most valuable digital currency, has surged to a new six-month all-time high of $24.9k in the past 24 hours. The recent breakout on the BTC/USD chart has come amidst fear of a renewed bear market after the occurrence of the dreaded death cross on the weekly timeframe. The surprise surge has resulted in the liquidation of 54,308 traders in the past 24 hours, amounting to a total of $211.75 million.

According to market analysts, the recent Bitcoin surge can be attributed to increased whale activity as they exit the stablecoins industry following a crackdown by US regulators. All eyes are now on the next psychological resistance level of $25k, which is the next target set by most analysts.

A solid daily candle above $25k will be considered a robust bullish thesis. However, if the Bitcoin price rebounds from $25k and retracts below $21.3k, bearish sentiment is likely to overwhelm the entire crypto market.

This spike in Bitcoin price coincides with whale traders’ loss of confidence in the stablecoin market, following the BUSD saga. In addition, on-chain analytics firm Santiment has identified numerous Bitcoin whale addresses stashing more Sats.

The unexpected spike in Bitcoin price has led some analysts to predict that the asset is headed to trade around $56k by the end of the year. However, Bitcoin bulls will need to invalidate the weekly death cross, which concerns the 50 and 200 MA, before confirming the bullish thesis.

Short Traders Rekt with Bitcoin’s Breakout

The breakout of Bitcoin in the last 24 hours has taken short traders by surprise. According to aggregate data provided by Coinglass, over 88 percent of $211 million liquidated crypto assets were short traders. Notably, about 54,500 traders have been liquidated in the past 24 hours, with the largest single liquidation order occurring on the Bybit crypto exchange involving the BTCUSD pair, valued at $2.54 million.

Bitcoin and Ethereum Lead in Liquidation

Approximately $88 million and $57 million in assets were liquidated in Bitcoin and Ethereum, respectively, in the past 24 hours. Forced liquidations are expected to continue in the coming weeks as bets on crypto correction and rally rise. Furthermore, more long trades may enter the crypto market, which can push prices even higher in the coming weeks.