THE BLOCK: Bitcoin's record $1.37 billion short squeeze wipes out leverage; call options price above puts for first time since September 2025
AI Market Summary
A record $1.37B Bitcoin short squeeze appears to have flushed excessive leverage, typically reducing near-term liquidation risk while resetting positioning. Options markets flipping to calls priced above puts (first time since Sep 2025) signals demand for upside exposure and improved risk appetite. BTC reclaiming multiple major moving averages reinforces momentum-sensitive flows. A supportive macro narrative tied to Bessent's Treasury push adds potential tailwind for broader crypto sentiment.
Impact level
● High
Affected assets
BTC/USDT-0.81%
AI Insight · BTC/USDTAI Insight
▲ Bullish
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THE BLOCK: A record $1.37 billion short squeeze in bitcoin has cleared out leveraged positioning, analysts said. Options markets also flipped, with call options becoming more expensive than puts for the first time since September 2025. bitcoin:native said bitcoin also rapidly regained four major moving averages. Analysts added that Bessent's push at the Treasury is reinforcing a macro setup they believe could leave room for further gains.