Bitcoin News Today: Bitcoin near $120,000 as 10% rise could trigger $18B short squeeze

Generated by AI AgentCoin World
Sunday, Aug 10, 2025 12:28 pm ET1min read
BTC
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Aime RobotAime Summary

- Bitcoin near $118,000 faces critical liquidity pool, with 10% rise potentially triggering $18B short liquidations via squeeze mechanism.

- Technical analysis highlights $117,000 consolidation zone and $120,000 breakout target, supported by institutional buying and Bollinger Band indicators.

- Whale accumulation and $116,000 support reinforce September $150,000 price target, with $119,000 acting as next key psychological barrier.

- Market volatility remains low (36.5% BVIV index), but $130,000 level could trigger another $18.5B in forced short-covering, accelerating upward momentum.

Bitcoin’s price has drawn increasing attention from traders and analysts as the cryptocurrency consolidates above $118,000 and faces a critical liquidity pool just above the current level [3]. Market observers believe this accumulation could lead to a sharp price increase through a short squeeze mechanism, with some forecasts suggesting the price might reach as high as $120,000 [4].

The concept of a short squeeze arises when traders with bearish positions are forced to cover their positions at a loss, typically due to a sudden price surge. According to recent analysis, a 10% upward move could trigger up to $18 billion in short liquidations, indicating that short sellers are heavily exposed [1]. Over the past 24 hours, more than $350 million in short positions have already been liquidated, highlighting the growing bearish pressure and the potential for a rapid shift in market sentiment [4].

Technical analysis also supports the

bullish
setup. The $117,000 level is currently acting as a key consolidation point, with traders watching for a breakout that could propel
Bitcoin
past $120,000 [3]. Analysts such as Sophia have noted that the Bollinger Band upper range and institutional buying activity suggest a near-term target of $120,000 [6]. If institutional interest continues to rise, the upside potential could extend further, potentially setting the stage for a larger rally.

In addition, the liquidation heatmap shared by trader Crypto Rover suggests that if Bitcoin reaches $130,000, another $18.5 billion in short positions could be liquidated [5]. This further underscores the risks faced by short sellers and the potential for rapid price acceleration as forced buying and stop-loss triggers come into play.

Whales and institutional investors are also showing increased accumulation activity, with Bitcoin approaching $116,000 and reinforcing the possibility of a September target at $150,000 [2]. A sustained move above $119,000 would make $120,000 the next major psychological and technical target, with a cluster of stop-loss orders likely to amplify upward movement [9].

The market remains in a low volatility environment, supported by improved investor sentiment and a 30-day implied volatility (BVIV index) that has dropped to 36.5%, the lowest since October 2023 when Bitcoin was under $30,000 [8]. As Bitcoin holds between $110,000 and $120,000, market participants are closely monitoring for signs of sustained buying pressure that could confirm the emergence of a long-term bull trend.

Source:

[1] AInvest, [https://www.ainvest.com/news/bitcoin-news-today-bitcoin-120k-10-gain-trigger-18b-liquidations-2508/](https://www.ainvest.com/news/bitcoin-news-today-bitcoin-120k-10-gain-trigger-18b-liquidations-2508/)

[2] MSN, [http://www.msn.com/en-us/money/markets/btc-price-soars-towards-120k-as-analysts-eye-150k-by-sep-here-s-what-whales-are-buying/ar-AA1KbFhZ?apiversion=v2&batchservertelemetry=1&domshim=1&noservercache=1&noservertelemetry=1&renderwebcomponents=1&wcseo=1](http://www.msn.com/en-us/money/markets/btc-price-soars-towards-120k-as-analysts-eye-150k-by-sep-here-s-what-whales-are-buying/ar-AA1KbFhZ?apiversion=v2&batchservertelemetry=1&domshim=1&noservercache=1&noservertelemetry=1&renderwebcomponents=1&wcseo=1)

[3] The Currency Analytics, [https://thecurrencyanalytics.com/bitcoin/bitcoin-price-breaks-out-toward-120k-as-bulls-tighten-grip-189670](https://thecurrencyanalytics.com/bitcoin/bitcoin-price-breaks-out-toward-120k-as-bulls-tighten-grip-189670)

[4] Binance, [https://www.binance.com/en/square/post/28111798274105](https://www.binance.com/en/square/post/28111798274105)

[5] Blockchain News, [https://blockchain.news/flashnews/crypto-rover-says-18-5b-in-btc-short-liquidations-at-130k-level-key-trading-triggers](https://blockchain.news/flashnews/crypto-rover-says-18-5b-in-btc-short-liquidations-at-130k-level-key-trading-triggers)

[6] btcc.com, [https://www.btcc.com/en-IN/square/Bitcoin%20News/773701](https://www.btcc.com/en-IN/square/Bitcoin%20News/773701)

[8] Coinpedia, [https://coinpedia.org/news/coinpedia-digest-this-weeks-crypto-news-highlights-9th-aug-2025/](https://coinpedia.org/news/coinpedia-digest-this-weeks-crypto-news-highlights-9th-aug-2025/)

[9] TradingView, [https://www.tradingview.com/symbols/BTCUSD/ideas/page-8/](https://www.tradingview.com/symbols/BTCUSD/ideas/page-8/)