Bitcoin Bulls Target $95,000 Rebound: Will the $89,400 Support Hold Trigger a Massive Short Squeeze to $100K?

Bitcoin Bulls Eye Renewed Push Toward $95,000 After Successful Retest of Key $89,400 Support

Bitcoin (BTC) traders have shifted to a more bullish stance in early 2026, fueled by futures-driven momentum that propelled the price toward $95,000 earlier this week. After a brief failure to break and hold that level, BTC pulled back to retest underlying support, but the structure remains constructive—setting the stage for potential short covering and another leg higher if volume picks up.

As of January 10, 2026, Bitcoin trades around $90,500–$91,200, showing resilience near recent consolidation zones. The flagship cryptocurrency rallied more than 8% from early-January lows near $87,400 to a weekly high of approximately $94,800 on January 5, marking the strongest stretch since late 2025.

Liquidation Heatmap Highlights Key Battlegrounds

Recent 7-day liquidation heatmap data reveals clusters of long liquidations stacked between $87,000–$89,000, while short positions concentrate near the weekly range high around $95,000. This setup creates classic "fuel" for volatility:

• A dip toward the $89,000 area absorbs long-side stops, shaking out weak hands.
• An upward push toward $95,000 triggers short covering and cascading liquidations.

The recent retest of support near the 20-day moving average (currently converging with the 50-day MA around $89,400) proved successful, with buyers stepping in to defend the zone. This dynamic aligns with classic bull market behavior, where corrections provide liquidity for the next advance rather than signaling reversal.

Futures Volume Drives the Action

Perpetual futures played a dominant role in the early-week surge. Data shows a massive $1.1 billion spike in futures buy volume as BTC climbed to $94,800 on January 5, accompanied by roughly $100 million in short liquidations on major pairs like BTC/USDT on Binance. This leverage-fueled momentum underscores how derivatives traders are leading price discovery in the current environment.

Order book structure and volume profile gaps suggest that renewed pressure toward $94,000–$95,000 could exploit similar dynamics, potentially clearing shorts and opening the path higher.

Technical Setup Favors Upside Continuation

On the daily chart, Bitcoin has formed higher lows and higher highs since the start of the year, with the price now sitting above key EMAs. A sustained hold above $90,000–$91,000 keeps the bias bullish:

• Upside target: A decisive break above $95,000 could trigger short squeezes, filling volume gaps and targeting $101,500 (a roughly 13% move from current levels).
• Downside risk: Failure to reclaim momentum might invite a deeper pullback toward $87,000–$88,000, though strong on-chain support (low long-term holder selling) reduces breakdown odds.

Broader sentiment benefits from institutional tailwinds, including steady ETF positioning and corporate treasury strategies, even as short-term ETF outflows have tempered gains.

Outlook: Momentum Build-Up Ahead of Catalysts

The early-2026 rally reflects improving risk appetite, with futures traders betting on higher prices through call options and leveraged longs. While volatility remains elevated—especially with upcoming macro events like U.S. policy rulings—the successful support retest and liquidation clusters position bulls favorably for another attempt at $95,000.

If volume supports the move and shorts begin covering, Bitcoin could accelerate higher. However, choppy action persists in low-liquidity conditions, so traders should watch for confirmation above resistance and manage leverage carefully.

Cryptocurrency markets are inherently volatile—price swings can accelerate quickly based on sentiment shifts or external catalysts. Stay alert to on-chain flows, liquidation data, and macro developments as January unfolds.

Srebrin Petrov publication: "Bitcoin Bulls Target $95,000 Rebound: Will the $89,400 Support Hold Trigger a Massive Short Squeeze to $100K?" was written for 24crypto.news

---

News from today

---

Related news

PEPE Eyes Relief Rally Despite Deep Downtrend — Can a Short Squeeze Trigger a Bounce?

Zcash (ZEC) Price Surges 10%: Trend Line Defense & Oversold Signals Trigger Massive Rebound

Bitcoin Institutional Demand Plummets 90%: Can BTC Hold $100K Support in 2025?

Ethereum Price Rebound Incoming? On-Chain Data & Short Squeeze Hint at $4,400 Rally

More news with author: Srebrin Petrov