Bitcoin Rises Above $87,000 as Liquidations Surge
Bitcoin rose above $86,000 on 21 September before extending its advance beyond $87,000 on 2 October. Ethereum also climbed above $2,750 as strong buying lifted the wider crypto market.
The rallies triggered major short squeezes. In the earlier move, CoinGlass recorded 129,660 liquidated traders and $922.27 million in total crypto liquidations. In the latest 24-hour period, 79,717 traders were liquidated, while total liquidations reached $363.64 million. The largest individual loss increased to $11.72 million on Binance’s BTC-USDT market, compared with $11.29 million for an earlier BTCUSDT short position.
The Bitcoin rally highlights high leverage and elevated market volatility. Traders should watch whether Bitcoin can hold above $87,000 and whether Ethereum remains above $2,750. Failure to sustain these levels could trigger profit-taking, renewed short-term volatility and further liquidations.
Bullish
The immediate price signal is bullish because Bitcoin broke above $86,000 and later $87,000, while Ethereum moved above $2,750. Strong buying and extensive short liquidations can support momentum in the short term as forced buying adds to market demand.
However, the scale of the liquidations also indicates heavy leverage and unstable positioning. If Bitcoin fails to hold $87,000 or Ethereum falls back below $2,750, traders may take profits and leveraged positions could unwind quickly. This creates a risk of sharp pullbacks despite the positive near-term trend. Over the longer term, sustained gains would require continued spot demand and broader market participation rather than liquidation-driven buying alone.