Bitcoin short sellers are swimming against institutional tides and suffering massive losses in the process, according to market data.
On Monday, Bitcoin sprinted to an all-time high exceeding $123,000, which has triggered more than $700 million in crypto liquidations in the last 24 hours, according to data from Coinglass.
Most of that carnage stemmed from $600 million in short positions liquidated during the period.
And there could be more pain ahead for bearish traders. João Wedson, CEO of Alphractal, a crypto analytics firm, said Bitcoin hasn’t reached the top of the latest speculative frenzy.
“Right now, the spot price of Bitcoin remains higher than the perpetual, or derivatives, price on Binance,” Wedson wrote in a report for CryptoQuant, a crypto market data platform.
That means market euphoria hasn’t taken over yet, he noted.
Other market watchers agree.
Analysts at the London Crypto Club say Bitcoin has just entered into the “banana zone,” a phase of rapid price increase.
And there’s ample market data to support that conclusion.
‘Cautious accumulation’
The perpetual–spot price range Wedson referenced is narrowing. He said the trend indicates a shift in market sentiment from “cautious accumulation to growing optimism.”
“Historically, when this indicator turned green, positive gap, Bitcoin entered a parabolic rally, often driven by leverage and FOMO in derivatives,” Wedson stated.
For now, retail isn’t here, and massive demand from big-money players remains the machinery pushing Bitcoin.
Inflows from spot Bitcoin exchange-traded funds remain persistently strong. Last week, inflows topped $2.7 billion, rivalling the massive inflows seen in 2024.
Corporate balance sheet conversions are also accelerating, with several companies announcing Bitcoin treasury strategies.
Bitcoin treasuries
At least 21 companies have announced plans to deploy about $3.5 billion into their Bitcoin treasuries in the last 30 days.
