Bitcoin Price News: Will BTC Keep Going After Retesting Its All-Time High?

Trading volumes have surged to $54.6 billion and have stood above the 14-day average for 2 days in a row as traders seem determined to retest this critical resistance.

Every dip has been bought in the past few days as a bullish breakout could unlock significant liquidity for the top crypto.

Open interest for BTC futures has been reaching new record levels every single day for four sessions in a row and currently sits at $75.5 billion just a few minutes into the American session.

They have also surpassed the levels seen back in November and December after President Donald Trump’s victory in the U.S. election, emphasizing how excited market participants are right now as the token managed to reverse its downtrend and retest these highs in just a month and a half.

Bitcoin Staged a Big Comeback in Just 45 Days

Back in early April, when the rally started, market sentiment was heavily depressed and the Fear and Greed Index reached record-low Extreme Fear readings of 15.

Just 45 days later, this sentiment gauge now stands at 69, meaning that investors have now adopted an attitude of greed.

What changed exactly? The most relevant development was President Trump’s decision to take a softer approach to tariff increases as reflected by his decision to delay the implementation of these higher levies for 90 days.

The Federal Reserve has also met twice during this period and they emphasized that they will not take any measures until they see the full impact of these trade policies in the American economy.

The market may have been encouraged by the fact that no interest rate hikes will be implemented, although rate cuts have also been paused for the time being.

In any case, Bitcoin’s daily price chart shows a well-defined ascending triangle formation that has accompanied the token to these heights.

Several buy signals have been sent along the way, including two golden crosses between the 21-day exponential moving average (EMA) and the 50-day and 200-day EMAs.

Strong Liquidity Awaits Above $109K

The most encouraging aspect of this rally is that, if it keeps going and breaks through the $109,000 resistance, liquidity at these levels will likely be huge.

If bulls have the required ammunition to pull this off, they may trigger a sizable amount of stop orders placed right above this level and deal a strong hit to short sellers in the process. This may be a historic short squeeze in the making that should unfold briefly.

Data from CoinGlass confirms a strong concentration of sell orders at the $109K-$110K level in top exchanges like Binance and Coinbase.

Moving forward, if a bullish breakout occurs, historical patterns suggest that a few strong pullbacks could be expected along the way that will look for support at the 21-day EMA.

As long as the price stays above this marker, chances are that BTC will rise to new all-time highs.

In a previous Bitcoin price prediction, we shared a mid-term target of $140,000 for the top crypto for the next few months as a golden cross between the 21-day and 200-day EMA has produced strong gains exceeding 60% calculated from the closing price at the time of the crossover.

Momentum indicators are heavily stretched and have reached extreme levels already but that has not deterred BTC from making higher highs in the past, although it has increased price volatility in the near term.