Daily Crypto Signals: Bitcoin Teeters at $80K Short-Squeeze Threshold, Ethereum Falters Under Triple-Top Pressure
Bitcoin hovers above $77,000 with $1.4 billion in leveraged short positions at risk of liquidation above $80,000, while Ethereum has been
Quick overview
- Bitcoin is currently trading above $77,000, with significant short positions at risk of liquidation if it surpasses $80,000.
- Ethereum has faced multiple rejections at the $2,400 level, forming a bearish triple-top pattern and posing a liquidation risk for long positions below $2,150.
- A major Bitcoin miner is shifting focus to AI cloud services, potentially generating substantial revenue from this pivot.
- In France, a crackdown on physical attacks against crypto holders has led to a significant increase in reported incidents.
Bitcoin BTC/USD hovers above $77,000 with $1.4 billion in leveraged short positions at risk of liquidation above $80,000, while Ethereum ETH/USD has been rejected four times at $2,400, forming a bearish triple-top pattern with $2.5 billion in long liquidation risk below $2,150. Broader market developments include a major Bitcoin miner pivoting to AI cloud services, European stablecoin regulations drawing criticism for limiting competitiveness, and a sweeping crackdown on physical attacks targeting crypto holders in France.
Crypto Market Developments
Other than basic price activity, Monday was also a day of major structural changes to the crypto world. A research by Bernstein analysts argued that IREN, one of the largest bitcoin miners, will generate most of its future revenue from AI cloud services, not bitcoin mining, after a multi-year GPU capacity deal with Microsoft. The arrangement backs a revenue run rate of around $3.7 billion per year for IREN’s AI business, with about 150,000 GPUs already signed up and the infrastructure expenditures mostly paid for by customer prepayments and GPU-backed financing.
Meanwhile, a research by the industry association Blockchain for Europe argues that the EU’s MiCA legal system has inherently disadvantaged euro-denominated stablecoins. Yet the euro is a well-known global financial currency and euro stablecoins account for less than 1% of global stablecoin volume. “MiCA’s ban on interest payments for stablecoins makes them uncompetitive against dollar-pegged alternatives, especially in a positive interest-rate environment”, said the authors of the paper, which includes an official from the European Central Bank.
On the security front, French officials said they had indicted 88 persons including 10 juveniles in connection with 12 so-called “wrench attacks” against crypto holders. These crimes, including home invasions, kidnappings and efforts to coerce victims to transfer crypto assets, have dramatically increased from 18 recorded cases in 2024 to 67 in 2025 and already 47 in the first months of 2026. The security company CertiK also announced a 75 per cent increase in such physical attacks in 2025 worldwide .
Can Bitcoin Price Cross $80,000 Resistance Soon?
Bitcoin has traded above $76,000 for the past week, recovering sharply from its 2023 bottom of $60,500, but still failing to convincingly break the $79,500-$80,000 resistance zone. A lot of adverse leverage has built up at that level. According to CoinGlass data, $1.4 billion in short bets will be liquidated if Bitcoin reaches above $80,000. Futures financing rates have remained stubbornly negative – suggesting traders are generally leaning bearish – even as Bitcoin’s price soared from $72,000 to $78,000 in mid-April, meaning many of those short bets are now underwater.
Spot market demand is still providing a strong floor. Strategy (previously MicroStrategy) purchased about $255 million in Bitcoin between April 20 and April 26, while US-listed Bitcoin ETFs experienced net inflows of $824 million during the same period. Puts are selling at an 11% premium to calls in the Deribit options market, a sign of nervousness among institutional traders. The Fed’s policy could be a lot of the upside potential for bitcoin to break above $80,000. Markets now see just a 20% chance of a rate cut by September, and any move toward easing or a spike in inflation expectations from Brent crude prices reclaiming the $100 level could be the spark to ignite a short squeeze that could carry bitcoin well above resistance.
Ethereum Faces Bearish Technical Pressure Under $2,400
Ethereum dropped 3.4% to $2,287 on Monday, its fourth successive rejection at the $2,400 level since April 14, solidifying what chart watchers are calling a textbook triple-top pattern. The 100-day exponential moving average near $2,350 has been a persistent dynamic resistance, keeping the price from moving sustainably higher. The ETH/BTC ratio dipped below 0.032 — a key support level — and dropped under its 21-period moving average, indicating deteriorating relative performance against Bitcoin. Analyst Michaël van de Poppe labeled the deteriorating ratio as a big issue for ETH bulls.
Ethereum’s downside risk is consolidating at the $2,150 support zone where $2.5 billion in leveraged long positions are at risk of liquidation. A breach of the support level may cascade into a plunge toward the $2,050-$1,900 region. Open interest on Binance has dropped to $2.58 billion, which is about the same amount as when ETH last traded near $2,200, further adding to the bearish picture. The funding rate has also dropped to around -0.013%, the lowest number since February. For analyst Amr Taha, the “short-heavy, lower-leverage positioning” of ETH means that if ETH holds around current prices, that could close the gap and eventually trigger a breakout — but the $2,150 support area remains the key demarcation line between an attempt to recover and a deeper selloff.
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