With bullish momentum now dominating the Bitcoin market, those betting against the uptrend are at risk of a historic liquidation.At press time, Bitcoin has returned to the $97K level after briefly dipping to $96K earlier today. Meanwhile, the rally to $97,500 is setting the stage for a potential liquidation cascade. Over $3 billion in short positions are vulnerable above the key $100,000 mark, according to data from Coinglass.$3B Short Squeeze at $100KThe liquidation heatmap reveals a significant cluster of short positions across major exchanges, including Bybit, OKX, and Binance, concentrated between $97K and $100K. As the price climbs, cumulative short liquidation leverage is now trending toward $4 billion. This indicates that leveraged bears are increasingly exposed.At the $100K breakout level, bears on these exchanges would face losses of around $3.04 billion. As the price continues upward, those losses become even more pronounced. Specifically, a Bitcoin move to $105K would trigger around $3.73 billion in liquidations, and at its all-time high near $109K, the total could approach $4 billion.Bitcoin shorts at liquidation riskBitcoin shorts are at liquidation riskMeanwhile, long positions have largely been cleared out during the recent correction. The cumulative long liquidation leverage (red curve) has sharply declined, suggesting the market has reset. This leaves room for a potential upside breakout with minimal resistance from overleveraged bulls.Notably, crypto analyst Carl Moon highlighted the setup on X, stating, "Lets send it." His remark highlights the growing sentiment that a short squeeze could propel BTC well beyond six figures.Bitcoin at a Critical Resistance PointCurrently, Bitcoin is trading within one of its biggest resistance zones. Data from IntoTheBlock shows that between the $96K and $98K range, around 1.06 million addresses acquired approximately 750,800 BTC, worth about $73 billion. This makes it Bitcoins largest supply zone. Once this barrier is overcome, a thinning wall of resistance will follow, particularly around the $100K level.However, should bears overcome bulls at this juncture, Bitcoin risks dipping to the $93K and $82K regions. In these areas, strong buying pressure could reemerge.https://twitter.com/ali_charts/status/1918241805784764454With Bitcoin flirting with new all-time highs, traders are eyeing the long-awaited $100K psychological barrier and beyond. Prominent market watcher Peter Brandt has even floated the possibility of Bitcoin rallying to the $120,000$150,000 range within the next four months. He believes that would be the point where a new bear market cycle could begin.
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