{"id":139766,"title":"Bitcoin Eyes $72,500 After $1bn Short Squeeze Sparks 8% Rally","publisher":"Share Talk","author":"sharetalk","published":"2026-08-20T14:49:34+00:00","modified":"2026-08-20T14:49:34+00:00","canonical_url":"https://www.share-talk.com/bitcoin-eyes-72500-after-1bn-short-squeeze-sparks-8-rally/","markdown_url":"https://www.share-talk.com/bitcoin-eyes-72500-after-1bn-short-squeeze-sparks-8-rally.md","json_url":"https://www.share-talk.com/bitcoin-eyes-72500-after-1bn-short-squeeze-sparks-8-rally.json","category":"Blogs","categories":["Blogs","e-commerce","Fintech","Technology","Technology, Media & Telecoms"],"tags":["Bitcoin","BTC","short squeeze"],"featured_image":"https://i0.wp.com/www.share-talk.com/wp-content/uploads/2026/08/589b19a4-9c51-4ab1-835c-079c4f87c0b4.png?fit=1725%2C912&ssl=1","format":"news","language":"en-GB","content":"**Bitcoin traders are betting the cryptocurrency has further to run in August following a dramatic short squeeze**, although prediction markets suggest there is little expectation of a return to six figures this month.\n\nBitcoin surged nearly **8% on Wednesday to around $69,500**, its strongest level since early June and its biggest one-day gain since March.\n\nThe move triggered more than **$1 billion of short-position liquidations in roughly an hour**, forcing traders betting on further declines to buy back positions as prices accelerated higher.\n\nPrediction market Polymarket subsequently put the probability of Bitcoin reaching **$72,500 during August at 46%**, a jump of 29 percentage points on the day. The odds of touching $67,500 increased to 59%.\n\nExpectations fall rapidly beyond those levels. Traders assigned a **21% probability to $75,000**, 10% to $77,500 and just 5% to $80,000. The chance of Bitcoin reaching **$100,000 was only 1%**.\n\nThe rally was supported by more than forced short covering. Large Bitcoin holders have reportedly accumulated around **$2.9 billion of the cryptocurrency over the past 60 days**, while improving sentiment around US financial conditions provided another tailwind.\n\nHowever, technical resistance remains. Bitcoin was still below its **200-day moving average near $69,900**, meaning the latest surge has yet to establish a convincing longer-term trend reversal."}