$3B Bitcoin Short Squeeze Looms—Fueling the Rocket to $100K

Bitcoin’s primed for a violent short squeeze as over-leveraged bears scramble to cover $3 billion in positions. When the dominoes fall, the liquidity surge could be the afterburner for BTC’s next leg up.

How shorts get wrecked: A 5% price spike would trigger cascading liquidations, forcing market makers to buy back BTC at any price—classic ’short fuel’ for parabolic moves.

Wall Street’s déjà vu: The same mechanics propelled 2021’s bull run, though this time the casino’s running with 3x the leverage (and 3x the hubris).

Watch the $68K level: Breaking this resistance with conviction could turn algorithmic traders from sellers to frenzied buyers—the ultimate feedback loop.

Just don’t tell the ’efficient market’ academics. They’re still writing papers about tulips.

Source: X

Since the 21st of April, IBIT alone has seen nearly $4 billion in inflows, right as Bitcoin smashed through the $85k resistance wall. Hence, tightening supply and turning up the pressure on short sellers.

And institutional adoption? It’s not just talk. Brown University just allocated $4.9 million to IBIT, a 2% chunk of its $216 million endowment. 

That’s a signal that even Ivy League capital is leaning into the Bitcoin narrative. 

Meanwhile, net flows into rival spot ETFs remain flat, reinforcing the idea that BlackRock is driving the lion’s share of institutional momentum.

With IBIT absorbing the bulk of inflows, BTC’s push toward the $100k mark could be fueled not by “hype” — but by cold, hard capital.

Bitcoin ascent stalls as FOMO meets Fear

According to AMBCrypto, fear is baked into the equation. 

A clean break above $100k would take Bitcoin back to early Q1 highs – prime territory for profit-taking.

Short-term holders who’ve morphed into long-term holders may see this as their exit ramp, and bears won’t hesitate to pounce.

Even now, as BTC grinds against the stubborn $96k resistance, market sentiment remains fragile. Over 63% of Binance’s BTC/USDT perpetual traders are skewed short, highlighting the hesitation.

But that could flip fast. With institutional cash flooding into Bitcoin via IBIT, a liquidity sweep could turn that fear into FOMO in no time. 

At $97.5K, there’s already $12.46 million in Leveraged positions active on the 12-hour lookback chart. A quick move could trigger liquidations and send BTC toward higher targets.

Source: CoinGlass

In this landscape, IBIT isn’t just another fund – it’s the rocket fuel Bitcoin needs to power through resistance and reclaim the $100k level.