Main takeout:
Bitcoin can move to more than $ 115,000 to clear more than $ 7 billion in short positions.
The onchain indicator suggests that it enters overheated territory and gains long -term benefits from BTC investors.
BITCOIN (BTC) showed its strengths on May 27, and announced that it would specify $ 110,700 tags after the start of the US stock market and raise $ 2.5 billion to Trump Media and Technology Group’s Bitcoin Treasury.
Bitcoin’s strong momentum coincides with the favorable US financial conditions, as mentioned by Ecoinometrics. The Bitcoin Newsletter, a macro economy, emphasized that the National Financial Conditions Index (NFCI) showed a rapid shift to the super rose area after the reinforcement stage in February 2025.
NFCI, issued by the Federal Reserve Bank of Chicago, tracks the stress of the financial system by counting measures such as credit spreads, leverage and funding conditions. When the index moves to a loose area, it is easy to access capital and reducing market stress generally reflects the conditions that encourage risk -sensitive behavior among investors.
For high -beta assets such as Bitcoin, this period often matches the price rally that capital flows into the speculative market.
Ecoinometrics mentioned that liquidity came back in four weeks and created a support macro economic environment for risk assets such as Bitcoin. Newsletter mentioned.
“This is a macro background that Bitcoin thrives. Bitcoin’s new highs have come out anywhere. We are tracking the same pattern as we have seen since 2023. Conditions → Capital rotation → dangerous.”
Since Bitcoin is 2% dropped from a record high, COINGLASS data is still increasing due to significant sales of short -term sales. As described below, if Bitcoin violates $ 115,000, a short position of more than $ 7 billion can be liquidated, resulting in a staircase effect and a higher price.
Related: Bitcoin shows signs of ‘mitigation exercise’, but traders
Onchain data shows bitcoin of ‘overheating zone’.
The overall propulsion is optimistic, while Bitcoin’s rally has pushed the market to an area where historical patterns call for attention. The two main onchain indicators, the benefit market band supply and advanced Net UTXO supply ratio, are flash signals that match the previous market tower.
The supply of the profit market is that Metric traces the current amount of cycling BTC supply is currently gaining profit. At the end of May 2025, the figure became close to a historical extreme and entered the “overheating area” and surged to 19.4 million BTC. Previously, the BTC price was tested on December 17, 2025, and then modified the price from $ 107,000 to $ 93,000.
At the same time, the advanced NET UTXO supply ratio (NUSR) comparing the profitability and profitable UTXOS (insufficient transaction output) is brushing about a historical ceiling of about 0.95. The red marker on the chart represents the previous instance if these conditions have a long -term integration.
The above data does not guarantee immediate drops, but these metrics are likely to increase volatility and profit in the short term.
Related: Bitcoin 2024 Conference caused a 30%price conflict. Can Bulls escape this year?
This article does not include investment advice or recommendation. All investment and trading measures include risks, and the reader must do his own research when making a decision.