Bitcoin Breaks $102K, $200M in Liquidations: Are More ATHs Coming?

The price of Bitcoin has surged above $102K, reaching a $2 trillion market cap. At press time, Bitcoin is trading at $102,435.34, marking a 4.25% increase in the last 24 hours. This is the first time since December 18th that Bitcoin has surpassed the $102,000 level.

Massive Liquidations Follow Bitcoin's Surge

Bitcoin’s recent price spike triggered over $200 million in liquidations. Data shows $131.71 million in Bitcoin shorts were wiped out within 24 hours, compared to $67 million in long positions. In just 12 hours, $129.26 million was liquidated.

The Bitcoin liquidation heat map shows a crucial price point at $106,000. If Bitcoin crosses this level, $1.01 billion in short positions could be liquidated. This would likely drive the price even higher. 

On the flip side, if Bitcoin dips below $100,000, $1.35 billion in long positions could be erased. A drop to $96,000 might result in a staggering $4.10 billion in liquidations.

Supply Shock Could Spark Further Gains

Bitcoin’s supply on exchanges has reached an all-time low, signaling a shift. Users are withdrawing Bitcoin to secure wallets, signaling a trend of long-term holding. Bitcoin reporter Vivek suggests this may lead to a “supply shock.”

The current all-time high for Bitcoin stands at $108,000. If the momentum continues, Bitcoin could break this record before January 20th, fueled by growing interest in US spot BTC exchange-traded funds.

The Relative Strength Index (RSI) for Bitcoin stands at 62.6, confirming strong bullish momentum. This suggests Bitcoin could continue its climb, with a good chance of reaching $110,000.