BTC News Today: Bitcoin Breaks $115,000 Mark as Short Positions Face Major Losses

Bitcoin surges above $115,000 as $350 million in short positions are liquidated, with a potential year-end rally in sight.

Bitcoin surged above $115,000, marking its highest price in two weeks. This surge is driven by easing macroeconomic concerns, a possible U.S.-China trade deal, and the anticipation of an interest rate cut by the Federal Reserve. 

The price increase led to the liquidation of nearly $350 million in short positions, further fueling the upward momentum in the market. Analysts are now forecasting the potential for a year-end rally, similar to previous “Santa Claus Rallies.”

Bitcoin Price Surges Amid Positive Macro Signals

Bitcoin’s recent price surge of over 3% brought it to $115,179. This marked the highest level in two weeks. The increase followed a broader rise across major cryptocurrencies, with Ether gaining 6% and Solana rising 5.7%.

Rachael Lucas, a crypto analyst at BTC Markets, pointed out that the price movements are not isolated spikes. Instead, they are part of a broader trend supported by macroeconomic tailwinds and tightening on-chain supply. 

The price rise aligns with favorable market conditions, such as improving U.S.-China relations and the expectation of an interest rate cut from the U.S. Federal Reserve.

Short Liquidations Amplify Bitcoin’s Price Increase

As Bitcoin prices rose, the market saw massive short liquidations. According to data from Coinglass, $347.5 million worth of short positions were liquidated within the past 24 hours. 

The most significant event occurred when $160 million in short positions were liquidated within just 30 minutes.

Vincent Liu, CIO at Kronos Research, explained that the short squeeze triggered by these liquidations caused a rapid increase in Bitcoin’s price. 

This surge is likely a result of bearish traders being forced to cover their positions as Bitcoin prices skyrocketed.

Santa Claus Rally Expected to Boost Bitcoin Further

Market experts are anticipating a “Santa Claus Rally,” a term used to describe the year-end price rise in the crypto market. Historically, the crypto market has seen increased prices toward the end of the year. Many still believe the trend will continue.

Nick Ruck, Director at LVRG Research, stated that the rally is likely to continue this year, particularly after the 2024 halving cycle. 

Analysts predict that Bitcoin could rise by 15% to 25%. The potential price could reach between $130,000 and $150,000 by the end of 2025.

Despite potential volatility, experts remain optimistic about Bitcoin’s upward momentum. They cite factors like favorable macroeconomic signals, potential rate cuts, and the anticipation of continued trade optimism between the U.S. and China.

The post BTC News Today: Bitcoin Breaks $115,000 Mark as Short Positions Face Major Losses appeared first on Live Bitcoin News.