Bitcoin Price Jumps Above $28K After 1.5K BTC Shorts ‘Blow Out’
Bitcoin (BTC) retreated to $28,000 on March 29 as a classic short squeeze took the market to five-day highs.
BTC liquidations increase as Bitcoin reverses Binance dip
Data from Cointelegraph Markets Pro and TradingView showed that BTC/USD hit $28,159 on Bitstamp.
The sharp rise came thanks to exchanges, where a band of shorts was “blown out” to remove resistance and allow higher levels to return.
As noted by analyst Skew, these shorts were left over from Bitcoin’s previous move, and were worth around 1,500 BTC.
“Looks like the previous bounce was shorted hard and those shorts just got blown out,” said part of the accompanying commentary.
According to analytics resource Coinglass, total BTC card liquidations for March 29 totaled nearly $20 million at the time of writing.
Still, monitoring resource Material Indicators noted further changes in Binance’s spot order book.
Related: US law enforcement agencies turn up the heat on crypto-related crime
Awaiting the March 31 macroeconomic data release from the US, traders appeared to be bracing for potential buying opportunities should the downside re-enter.
“Meanwhile, prices are pumping. If the bulls run out of momentum before clearing $28k, things could get spicy,” comments acknowledged.
Bitcoin faces “serious demand liquidity” before $30,000
BTC price action thus effectively erased all traces of losses caused by news that the largest exchange Binance was targeted by US regulators.
Related: Bitcoin is 1 week away from ‘confirming’ new bull market – analyst
Earlier, the consensus favored a return to test lower support levels for BTC/USD, this mainly focused on the 200-week moving average around $25,500.
Skew, meanwhile, acknowledged that for short-term upside to continue, bulls would need to muster serious buying power
“Thick liquidity between $28,000 and $30,000 would need some significant market buying to come through here,” a further tweet read.
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