Bitcoin Price Prediction: $69B MicroStrategy Bet and $536M ETF Outflows Fuel Short Squeeze Setup
After weeks of unrelenting sales pitches Bitcoin's price is showing a renewed surge as buyers are now seriously challenging...
Quick overview
- Bitcoin's price is experiencing a surge as it challenges the upper boundary of a descending channel, bouncing back from a low of $104,500.
- Big traders are accumulating short positions, which could lead to a short squeeze and push Bitcoin towards the $113,000-$114,000 resistance level.
- Institutional investors are showing renewed interest in Bitcoin, indicated by a positive Coinbase premium and potential purchases from MicroStrategy's CEO.
- The upcoming US CPI data could significantly impact Bitcoin's market, with a positive surprise potentially attracting more institutional investment.
After weeks of unrelenting sales pitches Bitcoin’s price is showing a renewed surge as buyers are now seriously challenging the upper boundary of a descending channel that has been shaping the price action since early October. The cryptocurrency has bounced back from that nasty low of $104,500 and has reclaimed not just the 50-day EMA of $110,556 but even the psychological milestone of $110,000 – a combination that usually signals the start of a short term reversal in trends.
According to data from Coinglass its clear that big traders have been racking up short positions way above where the price is now, so if the momentum keeps going upwards it could trigger what’s called a short squeeze. This is when big traders get forced to buy back what they sold short at higher prices and can really accelerate the move up – and that could potentially take Bitcoin all the way to the next resistance level at $113,000-$114,000 which just happens to be near the 200 day EMA – historically a major ceiling during recovery phases.
Institutional Investors Suddenly Turn Positive
🚨 Michael Saylor hints at new Bitcoin buys! MicroStrategy may add to $69B BTC holdings despite market volatility. The Bitcoin bull stays committed to treasury strategy. #Bitcoin #BTC
— DeFi ALERT 🔔 (@0xdefialert) October 19, 2025
Interestingly, institutional investors are also getting a bit more optimistic about Bitcoin. One analyst, Ted Pillows, has pointed out that the Coinbase premium – a metric that shows that there’s more demand for Bitcoin in the US than anywhere else in the world – has suddenly turned positive again. This is often an indicator that institutional investors are accumulating more of the cryptocurrency and getting more interested in the space.
And if that weren’t enough – look at this – MicroStrategy’s CEO Michael Saylor has hinted that he might be buying more Bitcoin soon – which could put even more downward pressure on supply. His company already has 820,000 BTC worth a cool $69 billion at an average price of $64,000 per coin – and as we all know Saylor loves buying at the right time – and this time it’s looking a lot like the last time he did it.
The Upcoming CPI Data – One More Wildcard
Right now the market is absolutely fixating on the US CPI data that’s due out this Friday. And this is interesting because it’s going to come just a few days before the Federal Reserve’s big meeting on October 29th – where they’re expected to discuss cutting interest rates by another quarter of a percentage point.
Just In: @saylor MicroStrategy’s Orange Dot Tracker highlighting ongoing Bitcoin accumulation. The company now holds 640,250 BTC $69B with +45.67% gains, emphasizing long-term, disciplined buying. pic.twitter.com/NGkaPjYBd2
— BNN (@brainsnewsnets) October 19, 2025
If that inflation data comes in a bit cooler than expected that could be a big boost for risk assets like Bitcoin – and we could get a flood of new money coming into the market. A “surprise” that comes in on the bullish side of things could even be the spark that gets institutional investors rotating back into crypto – and if that happens at the same time as the short-covering that’s already going on in futures markets it could be a pretty wild ride.
- Key Resistance: $113,000-$114,000
- Next Targets: $117,000 and $119,900
- Immediate Support: $107,500 and $104,500
Bitcoin (BTC/USD) – The Technicals Point to a Reversal
And technically – Bitcoin’s RSI has finally broken above 60 for the first time in over a week – which is a pretty strong indicator of a shift towards bullish momentum. And with the formation of a big bullish engulfing candle near $107,500 followed by a string of three consecutive green candles I’d say it’s looking pretty clear that buyers are finally taking control.
For traders looking to get in on the action I’d say a long entry above $110,800 with a stop-loss below $107,500 could be a good starting point – and if it goes off as planned it could send Bitcoin surging all the way to the $113,000-$117,000 zone. and if we do get a confirmed breakout with some good volume backing it up – that could be the end of the correction phase and the start of a real recovery.
As ETF outflows slow down institutional demand picks up and the macro conditions start to settle down – I’d bet that Bitcoin is going to get back to being the market leader and could even retest that $120,000 mark before the end of the year.
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