According to Cointelegraph: Bitcoin surged to a new high of $75,000 on November 6, resulting in nearly $180 million in short liquidations as election-driven volatility pushed BTC past its previous record. According to CoinGlass, total crypto market liquidations reached $483.2 million in the past 24 hours, with Bitcoin shorts accounting for the largest share at $251 million. Pav Hundal, lead analyst at Swyftx, remarked, “The spot market is flying, and shorts are getting rekt,” attributing the surge to increased spot demand.
Spot Buying Powers Bitcoin’s Rally as Short Sellers Get “Rekt”
Unlike derivative-driven rallies, spot buying has been the primary driver of Bitcoin’s latest price jump. Spot buying supports long-term price growth as investors purchase and hold actual BTC, rather than speculating on derivatives. Hundal explained that spot demand “makes it meaningful” since it impacts Bitcoin’s supply directly, fueling sustained price growth.
Election Volatility Peaks as Trump Victory Fuels Bullish Sentiment
While some analysts predict Bitcoin may correct heading into U.S. trading hours, options traders believe that election-driven volatility may have peaked. Nick Forster, founder of Derive, noted that while volatility is expected to remain above normal, short-term fluctuations are likely as results finalize. CK Zheng, the co-founder of ZX Squared Capital, suggested that a Trump win could boost Bitcoin further, with the market seeing the Trump administration as favourable to crypto.
Price Target of $100,000 in Sight for Bitcoin by 2025
Markus Thielen, head of research at 10x Research, suggested Bitcoin could potentially reach $100,000 by Q1 2025, driven by growing institutional demand and positive market sentiment. Derive’s Forster added that the options market assigns a 15% probability for BTC to surpass $100,000 by year-end, underscoring bullish long-term expectations.
As Bitcoin hovers near its new high, the spot-driven demand reflects investors’ optimism, with further price growth anticipated amid evolving market conditions and political developments.
