Bitcoin Surges to $85K Amidst Massive Short Liquidations
- Bitcoin reached an intraday high of $85,248 on Sept. 21.
- Over $260 million in short positions were liquidated within an hour as Bitcoin cleared $84,000.
- The Coinbase Premium Index read -0.02, indicating U.S. buyers paid less than international counterparts.
- Bitcoin ETFs netted only $6.21 million from Sept. 14-18.
- The Federal Reserve raised its target range by 25 basis points to between 3.75% and 4% on Sept.16.
Despite Bitcoin’s recent price surge, the negative Coinbase Premium Index suggests that American institutional buyers are not yet driving demand, as they pay less compared to global markets.
The massive liquidation of short positions contributed significantly to the price increase rather than sustained spot demand from U.S.-based investors or institutions, highlighting a market driven by leverage rather than traditional buying activity.(Source)
