Bitcoin (BTC) has broken through a significant psychological barrier, closing above $109k for the first time since December 2024. The flagship cryptocurrency surged over 3.8 percent in the past 24 hours, reaching a new all-time high of approximately $118,885 during the mid-London session on Friday, July 11.
The bullish momentum in the market led to heavy crypto liquidations totaling over $1.2 billion in the past day. Short trades accounted for over $1 billion of these liquidations, with BTC contributing around $567 million to the total.
A recent report by Coinpedia highlighted that Bitcoin’s cumulative short liquidation leveraged trades, initiated around $112k, amounted to a staggering $12 billion. With the price of Bitcoin now surpassing $118k, a short squeeze has been triggered, causing sellers to turn bullish.
Top Reasons Why Bitcoin Price Has More Upside Momentum
The bullish sentiment surrounding Bitcoin is expected to continue in the coming months, largely driven by increasing demand from institutional investors. U.S. spot BTC ETFs have seen a significant cash inflow of about $1.18 billion in recent months.
BlackRock’s IBIT leads in net daily cash inflow, managing over $80 billion in net cash. Companies like Strategy and Metaplanet continue to hold BTC in their treasuries, as reported by BitcoinTreasuries.
Additionally, Bitcoin’s price is likely to benefit from the growing global money supply and the trend of countries forming alliances to move away from the U.S. dollar, such as the BRICS movement. These factors contribute to the weakening of the greenback amid its ongoing depreciation.
How to Trade Crypto Summer
During a crypto summer, the entire crypto market typically experiences a bullish trend driven by optimism and growth. Capital rotation from larger to smaller crypto projects by market cap is common during this period.
From a technical analysis perspective, oversold crypto tokens, including meme coins, with potential to disrupt the web3 space may offer higher returns. The cryptocurrency market in 2025 bears resemblance to the crypto summer of 2017, which witnessed one of the largest bull runs in history.
The current market sentiment is further supported by the fact that U.S. President Donald Trump was in power during the 2017 crypto summer and remains a prominent figure today.
In conclusion, Bitcoin’s price surge above $109k signals a renewed bullish sentiment in the market, driven by institutional demand and global economic trends. As the cryptocurrency landscape evolves, traders can capitalize on the opportunities presented during this crypto summer.