Bitcoin's price has shown an upward trend, reaching $109,730. This rise coincides with record levels of global money supply.
Price Fluctuations of Bitcoin
Bitcoin rallied by 3.6% to $109,730 — the highest since June 12. This surge occurred amid the global money supply (M2) reaching an all-time high above $55 trillion. If Bitcoin closes above $108,500, it will confirm a strong bullish pattern, increasing the likelihood of new highs.
Increase in Open Interest
The price rise of Bitcoin from $105,200 to $109,500 was mirrored by a sharp increase in derivatives activity. Open interest across major futures exchanges surged by 10%, approximately $3.2 billion. This increase was primarily driven by long positions, indicating confidence in further upside. Concurrently, a significant short squeeze occurred, with over $196 million in short positions liquidated within the last 12 hours.
Prospects for a New All-Time High
With Bitcoin decisively breaking out of its recent sideways range, market analysts are increasingly confident that a new all-time high is imminent. According to trader Rekt Capital, a weekly close above $109,300 could pave the way for price discovery. Analyst Jackis noted that Bitcoin recently reached its lowest volatility levels, a scenario that historically preceded major market movements.
The recent surge in Bitcoin's price, combined with the increase in global money supply and derivatives market activity, raises expectations for future growth and the potential for new all-time highs.
