Bitcoin reached an unprecedented high of over $118,600 on Friday, driven by increasing institutional interest, a surge in ETF inflows, and supportive political developments from the Trump administration.
This latest surge in price caught many traders by surprise, leading to a significant wave of liquidations not seen in years, which indicates a notable shift in market momentum.
As of 5:55 a.m. ET, Bitcoin had surpassed its previous high of $113,734 achieved just hours earlier. The leading cryptocurrency has now appreciated approximately 24% year-to-date, with market analysts targeting $130,000 as the next significant milestone.
The recent price increase has been attributed to a shift in market structure towards a bullish trend, as noted by 10X Research.
Traders Adapt as Low Volatility Sparks Bullish Outlook
In a report to clients, the research firm highlighted that a short-term breakout signal has been activated, traditionally leading to median gains of around 20%. This could set a price target near $133,000 by September.
With Bitcoin reaching a new all-time high, the Crypto Fear & Greed Index now reflects a state of “Greed.”
How do you perceive your position on the scale? pic.twitter.com/c4LkrLF1fH
— CoinGecko (@coingecko) July 11, 2025
Markus Thielen, founder of 10X, shared insights with Finance Newso, stating, “Our trading signals suggest that this short-term breakout has a 60% chance of yielding further gains over the next two months.”
Beneath the surface, market conditions have been changing subtly. Recent measures of implied volatility reached their lowest in months, providing traders with inexpensive options for bullish bets.
Additionally, many traders found themselves underexposed following the options expiration in June, prompting them to quickly readjust their positions.
More than $1 Billion in Short Positions Liquidated as Bitcoin Rallies
Over the last 24 hours, the rally was further propelled by the liquidation of more than $1.14 billion in leveraged positions, according to CoinGlass data. Nearly $1.02 billion of that total was attributed to short sellers.
Bitcoin alone accounted for over half of the liquidations, totaling $599 million. Ethereum saw about $243 million wiped out, while other cryptocurrencies like Hyperliquid, Solana, and XRP also experienced significant losses.
Source: CoinGlass
Pro-Crypto Policies and $15 Billion in ETF Investments Boost Bitcoin’s Momentum
This latest surge in volatility coincides with the implementation of pro-cryptocurrency policies by Trump’s administration. In March, an executive order was signed to create a national cryptocurrency reserve. Several crypto advocates have since been appointed to prominent roles, including Paul Atkins at the SEC and David Sacks in AI policy.
Additionally, businesses connected to Trump are increasing their engagement in the crypto space. The Trump Media & Technology Group has recently filed to launch a crypto ETF that aims to encompass various tokens, including Bitcoin.
With consistent demand for ETFs, improving macroeconomic conditions, and favorable regulatory frameworks, many traders are optimistic that this breakout signals the beginning of a more extensive bullish trend.
“Bitcoin could be moving into a higher trading range,” Thielen commented. “Since mid-April, Bitcoin ETFs have acquired $15 billion worth of BTC, driving price increases.”
As the cryptocurrency market heats up, attention is focused on the upcoming US CPI release and the commencement of “Crypto Week” in Washington, both of which may present new catalysts or challenges for the leading digital currency.
The post Bitcoin Soars to Fresh Record at $118K, Forecasts Hint at $130K by Fall appeared first on Finance Newso.
