Bitcoin surged to $85,000 as a short‑squeeze erased roughly $648 million of bearish bets, while open interest climbed 7.
Bitcoin traded around $84,984, up about 4.7% since midnight UTC, extending its break above the September 4 high of $82,284. Short positions accounted for $647.9 million of $746.6 million liquidated in the past 24 hours, including $159.9 million in the last hour, according to Coinglass data. Open interest rose 7.59% to $156 billion and 24‑hour volume increased 39% to $224 billion, suggesting traders are replacing liquidated positions rather than exiting the market.
The broader market saw the CoinDesk 100 index rise 3.0% with 95 of its constituents higher. Derivatives data showed a long‑short volume ratio near 53% in favor of bulls, Bitcoin futures open interest topping 700 K BTC, and whale long/short ratios around 1.0 on Binance, while overall whale derivatives exposure remained above 2.0. The article notes that annualized perpetual funding rates approached 60%, indicating heavily crowded long positions, but does not provide further analysis of potential impacts.