Key Takeaways
How did Bitcoin make a new all-time high?
Steady BTC demand and a wave of short liquidations spurred the leading crypto beyond $125k.
What is the next bullish target?
The immediate resistance level to keep an eye on is the $133.5k level, which could be a potential resistance zone.
On the 5th of October, Bitcoin [BTC] set a new all-time high at $125,599, per data from CoinMarketCap. At the time of writing, BTC was trading at $125k and appeared likely to jump higher quickly.
Source: BTC/USDT on TradingView
The price chart showed that two key supply zones (red) at $117k and $124k have been overcome. Liquidations also showed room for bullishness.
Over the past 24 hours, CoinGlass data showed Bitcoin saw $148.47 million in liquidations, with $131.96 million being short liquidations.
The crypto market as a whole experienced $345.5 million in liquidations, with $220.6 million being short positions.
The U.S. government shutdown meant the short-term outlook had been uncertain, though Q4 expectations were still bullish.
Traditionally a positive month for crypto, October might indeed become Uptober with the new all-time high.
The government shutdown has sparked a rally despite the political uncertainties- the question is, how much higher can this impulse go?
Short-term Bitcoin price targets
Demand for Bitcoin has been steady recently. Spot exchange-traded funds (ETFs) saw strong inflows last week, a trend that should continue if the prices continue to climb past $125k.
AMBCrypto reported that extremely low BTC inflows to Binance, combined with buyer dominance, fueled the gains over the past week.
Source: checkonchain
Using the Bitcoin pricing model from the checkonchain suite of metrics gave clues on where the prices could go next.
The short-term holder price model used the STH realized price and its standard deviations to generate statistically significant price bands.
At the time of writing, the STH realized price was at $112.8k, marking a vital short-term support. The immediate resistance level at $124.8k has been overcome, though the chart above has not updated to reflect this.
This meant that the STH +1σ (standard deviation) level at $133.5k is the next bullish price target.
Back in May and July, the STH +1σ realized price level has served as resistance, and could do so once again. In a post on X, crypto analyst Axel Adler Jr pointed out the same possibility.