LocalTrade Analysis: Bitcoin's August Short Squeeze and the October Outlook
- —The August 18-24 short squeeze lifted BTC from $63,000 to $80,000 and wiped out $3.07B in shorts, the 8th largest liquidation event on record
- —Daily spot Bitcoin ETF volume topped $5.3B, with roughly $4B flowing through BlackRock's IBIT
- —Capital went exclusively into spot ETFs; Ethereum, Solana and altcoins saw no inflows as the rotation broke down
- —The 50-week moving average near $81,000 capped gains until late September; a weekly close below $80,000 would revive the liquidity-sweep scenario
Why it matters: The $80,000 and $87,000 levels will decide whether the rally continues or the market returns to a liquidation-driven selloff, while ETF-concentrated capital starves altcoins of inflows.
Source: BSC News