Bitcoin price inches toward record high as open interest climbs to $72B
Bitcoin climbs to $107,800, just 2% shy of all-time high set in January 2025
Bitcoin price action continues to build on a six-week bullish stretch, edging closer to its all-time high of $109,300 set in January 2025.
The price rallied early on Wednesday, May 21 during the European session, reaching an intraday high of $107,800. That level now puts BTC less than 2 percent away from retesting its record high, a milestone that traders are watching closely.
Highlights
- Bitcoin is less than 2% away from its January all-time high of $109,300.
- Over $1.2B in leveraged shorts are at risk as futures open interest hits a record $72B.
- Price support has shifted upward toward $105,700, strengthening the bullish case.
Fueling this upside momentum is a sharp rise in institutional leverage. Open interest in Bitcoin futures climbed to a record 72 billion dollars on May 20, up 8 percent from the previous week. This build-up reflects an aggressive appetite for directional exposure, especially as 1.2 billion dollars in short positions between $107,000 and $108,000 are now at risk of liquidation. The scale of these bearish bets means any further price extension could force liquidations that act as additional upward pressure.
Bitcoin four-hour EMA flips to support near $105,700 zone
From a technical standpoint, Bitcoin continues to form new intraday higher highs. Price action earlier today broke above the previous day’s high of $107,350 during the early European session.
The four-hour RSI sits near 65 in bullish territory, indicating the momentum remains on the side of the bulls. More importantly, the 20-period EMA on the four-hour chart is now hovering above $105,700, which has flipped from resistance to support. This reinforces the likelihood that any pullback toward that level would be met by buyers.
BTC price dynamics (April - May 2025). Source: TradingView
The current structure suggests that traders are expecting a potential range to develop into the $108000 zone. However, the proximity to clustered short liquidations and the overall positioning in futures indicate the market may try to extend beyond that to test or even breach the January high.
In summary, Bitcoin’s path toward $109,300 is being supported not just by spot demand and trend continuation but also by the vulnerability of highly leveraged short positions. Price action, momentum, and futures data all point toward a high-stakes zone just ahead.
Bitcoin bounced off the 50 EMA after a short pullback, keeping the uptrend intact. Stable funding rates show reduced leverage-driven risk in current rally.
