After multiple new highs last week, Bitcoin did not stop over the weekend. In a low liquidity situation, it broke through 119,000 on Sunday night to set a new high. At the same time, about 22 million dollars in Bitcoin short positions were liquidated, and then the price fell back to 118,000. This is clearly just a liquidity action by market makers. Recently, the crypto market tends to have some fluctuations on Sunday nights, so this time period might be worth paying attention to.
After clearing liquidity around 119,000, the upward short positions are currently quite thin, and the contract rate has returned to normal, indicating that most people are temporarily hesitant to go short. However, there are a large number of long positions waiting to be liquidated around 117,000. Nevertheless, since it is still the weekend, it is difficult to conclude whether the market will go down to liquidate this liquidity; the situation will only become clearer after the U.S. stock market opens on Monday.
Currently, what to pay attention to in the U.S. market is, first, the CPI data to be released on Tuesday, and second, events related to tariff negotiations. Over the weekend, Trump set a 30% tariff on the EU, making the EU's response particularly important this week. In addition, there have been rumors that Powell might resign, but he emphasized in a media interview that he could not imagine any reason for him to step down early. Therefore, whether the rumors of his resignation are true remains to be seen. However, if he really does resign, the impact on the market would be quite significant.
