Bitcoin (BTC) extended volatility into the Sep. 8 Wall Street open as a classic “short squeeze” sparked new September highs.
Bitcoin offers a round trip to $24,400
Data from Cointelegraph Markets Pro and TradingView showed BTC price movements liquidating shorts and longs alike.
Bitcoin had seen upside momentum the day prior, this culminating in a trip above $26,400 after the daily close.
A subsequent comedown nonetheless took BTC/USD full circle, and the pair was back under the $26,000 mark at the time of writing.
Welp — lets take out the lows again then eh? pic.twitter.com/EVeXRnuwJ6
— Jelle (@CryptoJelleNL) September 8, 2023
The result was punishment for late traders chasing the market up and down. According to data from monitoring resource CoinGlass, short liquidations totaled $23.5 million for Sep. 7, with the Sep. 8 long tally not yet known.
“Shorts got hunted as expected,” popular trader Skew wrote in part of overnight market coverage on X (formerly Twitter).
$BTC Binance & Bybit Open Interest
Shorts got hunted as expectednote the OI added here with small price reaction and decreasing perp bid delta, this implies more shorts scaling into price on this second drive higher https://t.co/OULNlQrQof pic.twitter.com/X1hNlvjbdc
— Skew Δ (@52kskew) September 7, 2023
Fellow trader Daan Crypto Trades drew attention to the significance of reclaiming lost ground from August.
“Bitcoin Was finally able to break above the September monthly open after testing it numerous times. It is now retesting it,” he told X subscribers on the day.
“The question is, will it provide as much support as it did resistance? Up to the bulls to try and maintain a ‘green’ September.”
CoinGlass data confirms that September tends to produce BTC price downside of close to 10%, with market expectations skewed appropriately for 2023.
Analyst: BTC price cementing “final correction”
Continuing, trader Crypto Tony dismissed the strength of the overnight move, advising that $26,600 was the line in the sand to cross.
Related: Bitcoin all-time high in 2025? BTC price idea reveals ‘bull run launch’
“Nice rally off the $25,600 range low, but no follow through up to the range highs, so again we are stuck mid range,” he explained alongside an explanatory chart.
“No entry for me on Bitcoin unless we clear $26,600.”
