BTC Returns to High Levels as Investors Bet on Further Gains
On Monday, Bitcoin prices surged past \$110,000 for the first time since late May, closing in within 2% of its all-time high of \$111,814. This rally stands out following last week’s market correction, indicating growing new buying momentum.
Joe DiPasquale, CEO of BitBull Capital, said that if Bitcoin can hold above \$110,000 after breaking out of its consolidation range, it could challenge the \$120,000 level. “Improved market sentiment and technical structure are key drivers behind this rally,” DiPasquale noted.
According to CoinGlass data, approximately \$330 million worth of short positions were liquidated across the crypto market in the past 24 hours, with Bitcoin accounting for nearly \$200 million. In just one hour, over \$110 million in shorts were liquidated. This suggests that some investors’ bearish expectations were rapidly reversed, helping to push Bitcoin prices higher.
Bitfinex analysts pointed out that following last week’s massive leveraged liquidations, the market structure is being rebuilt. Bitcoin has found a foothold and is entering a “critical inflection point.”
Ethereum and Altcoins Rally in Tandem
Bitcoin’s strong performance was matched by a significant rebound in Ethereum. ETH prices broke above \$2,620, gaining over 3.5% intraday, recording 15 consecutive days of net capital inflows—contrasting sharply with recent outflows from Bitcoin ETFs. Solana also rose over 3%, nearing \$160, showing solid gains.
Meme coins such as Dogecoin (DOGE) and Shiba Inu (SHIB) climbed 4.5% and 2.5% respectively, reflecting increased risk appetite in the market.
Macro Factors Support Market Outlook
This crypto market recovery coincides with renewed trade talks between China and the U.S., with investors hopeful that both sides will ease tariff tensions, providing positive support to the market. Meanwhile, the U.S. will release the latest Consumer Price Index (CPI) data on Wednesday, which will be a key indicator for future monetary policy.
Jake O, a trader at Wintermute, noted, “The market is highly sensitive right now, and any macroeconomic signal could trigger the next wave of price movement.”
Despite strong upward momentum, on-chain data shows some long-term holders have begun to sell, which may constrain short-term gains. Bitfinex’s report highlights that Bitcoin is currently “hovering between structural support and slowing upward momentum,” and its future trajectory will depend on further macroeconomic developments.
Caleb Franzen, analyst at Cubic Analytics, described this phase as a “quiet rally” sustained by a steady inflow of buying pressure. “As long as the market maintains a higher high and higher low structure, the overall trend remains positive.”