Bitcoin briefly surpassed $87,000 on Monday before stabilizing just below that level, triggering a sharp surge in market optimism. Santiment reports that Bitcoin-related FOMO has reached levels unseen since late 2024, noting that “risk is less attractive now than when the crowd was fearful last week.” A short squeeze liquidated $648 million in bearish crypto positions within 24 hours, and trading volume jumped 39%. Open interest rose 7.6% to $156 billion. Analysts including Doctor Profit see a pattern similar to 2022-2023, with Bitcoin above its 50-week moving average. Glassnode states Bitcoin remains in a “bullish regime,” trading above key cost basis levels.
Bitcoin pushed past $87,000 on Monday before stabilizing a little below it. The rally triggered a strong surge in market optimism.
Santiment believes that “risk is less attractive now than when the crowd was fearful last week.” The firm found that Bitcoin-related FOMO has reached a level not seen since late 2024.
A strong short squeeze pushed prices higher. Around $648 million in bearish crypto positions were liquidated within 24 hours.
Crypto trading volume jumped 39% during the move. Open interest across the crypto market rose about 7.6% to $156 billion, even after large short liquidations.
According to Santiment, extreme optimism can become a warning sign when market expectations become too one-sided. The big jump from fear to FOMO indicates increasing trader confidence.
Analyst Doctor Profit said Bitcoin is repeating a pattern from the 2022-2023 period. The asset recently surged past the crucial 50-week moving average around $78,700, and a weekly close above this could strengthen the bullish case. Doctor Profit identified $88,000 as the next major target.
On a longer timeframe, “The Long Investor” projected a Wave 5 target of $350,000 by 2030. Crypto Patel, based on previous cycles showing a 364-day gap between market peak and bottom, sees $370,000 as a possible next destination.
Glassnode stated that Bitcoin remains in a “bullish regime,” trading above both the True Market Mean and the short-term holder cost basis. “Holding above these levels is what historically defines a sustained uptrend.”
