Bitcoin Ignites if it Breaks $82,000... $200 Million in Short Positions Liquidated

▲ Bitcoin (BTC) / ChatGPT Generated Image

Bitcoin (BTC) surged to $81,019 during intraday trading, drawing market attention to whether it will break the key resistance level of $82,000.

U.Today reported on May 5 (local time), citing CoinGecko data, that Bitcoin rose to $81,019 during intraday trading. However, Bitcoin remains 35.7% lower than its all-time high of $126,080 recorded in early October.

During the surge, short position liquidations also increased significantly. According to CoinGecko data, approximately $226 million worth of short positions were liquidated in the past 24 hours. This is interpreted to mean that selling positions were rapidly closed during Bitcoin's rebound, increasing short-term upward pressure.

The market's key level is $82,000. Bitwise advisor Jeff Park analyzed that if Bitcoin breaks $82,000, a significant rally will ignite. However, buying pressure has not yet definitively overcome this resistance level, and bulls are struggling to break through this zone.

U.Today also reported that the likelihood of Bitcoin never trading below $60,000 again has increased. This is because the 200-week moving average has risen above $60,000 for the first time. The rise in the long-term moving average suggests that Bitcoin's lower support structure is higher than in the past.

Ultimately, Bitcoin's next direction depends on whether it breaks through $82,000. While short liquidations are stimulating a price rebound and long-term moving averages are rising, the rally could be limited if it fails to overcome the key resistance level. The market is watching to see if a breakthrough above $82,000 can turn a short-term rebound into a full-fledged uptrend.

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