Bitcoin Surges 10% to $109,730 as Global Money Supply Hits $55 Trillion

Bitcoin's price surged to $109,730, marking its highest point since June 12. This rally was driven by the global money supply reaching a new all-time high above $55 trillion. The price increase was accompanied by a significant rise in open interest (OI) across major futures exchanges, which surged by 10%, or approximately $3.2 billion. This increase was primarily driven by long positions, indicating confidence in further price increases.

Despite the surge in price and OI, funding rates remained stable across perpetual futures markets. This stability suggests a balanced sentiment between long and short traders and implies that the rally was not driven by excessive leverage. From a bullish perspective, stable funding during a price increase suggests that the uptrend may be more sustainable.

A notable short squeeze accompanied the move, with over $196 million in short positions liquidated within the past 12 hours. This liquidation cascade likely accelerated Bitcoin’s push past key resistance levels. Further validating the buy-side strength, the Bitcoin Coinbase Premium Index stayed elevated throughout the move. This metric, which tracks the price difference between Coinbase and other major exchanges, suggests consistent spot buying pressure from institutional and retail investors, adding weight to the bullish case.

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 record weekly close above $109,300 this Sunday could place BTC above its final major resistance zone, effectively “unlocking” price discovery and paving the way for new highs. Adding to the bullish narrative, analyst Jackis highlighted that Bitcoin recently reached its lowest volatility levels since 2023, a rare occurrence seen only seven times in its history. “Every time we’ve hit these levels, a major volatility spike followed within five weeks, often sooner,” Jackis noted, suggesting a significant move is on the horizon.

Meanwhile, technical analyst Titan of Crypto pointed to a confirmed bullish MACD crossover on the daily chart as a key momentum signal. The analyst added that BTC is attempting a breakout from a bullish flag pattern, with a successful push likely triggering a “magnet effect” toward the $137,000 region. Multiple technical indicators suggest a major breakout is underway, with analysts eyeing a $137,000 Bitcoin price.