The market seems to be aiming to squeeze short-sellers after a drop to $100,000 attracted bears. BTCUSDT’s long/short ratio of accounts on Binance dropped from 1.43 on 5 June to 0.56 at the time of writing, meaning that retail traders are mostly bearish on BTC.
As a result, today’s rally could be a targeted attempt to liquidate these traders by pushing BTC to, or at least near, its latest all-time high.
EMA Crossover Buy Signal Still Holds Up
Other cryptocurrencies including Ethereum (ETH) and Solana (SOL) have experienced mild gains of 2% and 1.5% respectively in the past 24 hours. However, pulling a 2% increase in a financial mammoth like Bitcoin, whose market cap already exceeds $2 trillion, is no easy feat.
Hence, big volumes seem to be involved in this rally, either in anticipation of some positive news from the U.S.-China meeting or as a move from market makers to position themselves favorably to dump their bags on unwary retail traders if negotiations go sideways.
In previous price predictions, we shared a potential mid-term target of $140,000 for Bitcoin (BTC) resulting from how the token performed the last time it posted a ‘golden cross’ – a bullish crossover between the 9-day and the 200-day exponential moving average (EMA).
