Bitcoin surged past $80,000 on Monday, reaching its highest level since late January, as traders described the move as a “disbelief rally” and set their sights on the next price target at $84,000. The rally, which pushed BTC/USD to $80,610 during early Asian trading, was accompanied by over $462 million in crypto liquidations, signaling aggressive buying pressure.
Bitcoin leads fresh May rally
Data from TradingView shows Bitcoin gained 1.6% on the day, breaking above the psychologically important $80,000 mark for the first time since Jan. 31. The move comes after a period of consolidation and skepticism, with many analysts having called for a drop toward $60,000 or lower. Crypto analyst Matthew Hyland noted on X that “the many calling for $60K and below will be the ones flipping bullish late above $90K,” describing the current phase as a disbelief rally.
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Ether (ETH), the second-largest cryptocurrency, traded at $2,367, up 2% over 24 hours. XRP (XRP) rose nearly 2% to just above $1.41, while Dogecoin (DOGE) led the top 10 with a 3.5% gain. The global crypto market capitalization increased 1.6% to approximately $2.65 trillion, according to CoinMarketCap.
Traders focus on $84,000 CME gap
Market participants are now watching the CME futures gap at $84,000, formed in early February. Trader Daan Crypto Trades described this level as a “magnet” that could act as both a target and a potential reversal zone. Bitcoin’s 5.5% rally over the past five days has already reclaimed key support levels, including the true market mean at $77,500 and the short-term holder cost basis around $78,000.
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According to MN Capital founder Michael van de Poppe, a breakout above $79,000 opens the path toward $86,000 to $88,000 resistance, with a longer-term target at $90,000. “Bitcoin looks primed for upwards momentum,” he said in an X post on Monday.
Liquidation data supports bullish momentum
Short liquidations totaled $452 million over the past 24 hours, reflecting intense buying activity. CryptoQuant analyst Amr Taha highlighted two consecutive large hourly buy-volume spikes on Binance, totaling approximately $1.19 billion and $792 million, near the breakout level. “When this type of volume appears near a major breakout level, it often shows that traders are not waiting for a pullback; instead, they are chasing confirmation as the price moves higher,” Taha said.
Bitcoin’s 30-day liquidation map shows that a break above $84,000 would trigger over $2.85 billion in leveraged short liquidations across all exchanges, according to CoinGlass.
Conclusion
Bitcoin’s rally above $80,000 marks a significant shift in market sentiment, with traders now targeting the $84,000 CME gap as the next major level. The move is supported by strong buy volumes, heavy short liquidations, and reclaimed key support levels. However, as with all market movements, uncertainty remains, and readers are encouraged to conduct independent research.
FAQs
Q1: What is a CME gap and why does it matter for Bitcoin?
A CME gap occurs when Bitcoin futures traded on the Chicago Mercantile Exchange open at a different price than the previous close, leaving a gap on the chart. Traders often expect the spot price to “fill” these gaps, making them potential price targets.
Q2: What is a disbelief rally?
A disbelief rally refers to a price increase that occurs while many market participants remain skeptical or bearish. It often catches traders off guard and can lead to rapid upward moves as sentiment shifts.
Q3: What happens if Bitcoin reaches $84,000?
If Bitcoin reaches $84,000, it would close the CME gap from early February. The liquidation map suggests that over $2.85 billion in short positions could be liquidated, potentially fueling further upward momentum. However, the level could also act as a local reversal zone.
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