Bitcoin Price Near $63K After Saylor Buy and Short Squeeze

Key Insights:

• Bitcoin price holds near $63K after briefly losing $60K support.
• Strategy bought about $101M in BTC after market fears increased.
• Rising exchange reserves keep Bitcoin support under pressure.

Bitcoin price steadied near $63,000 on Monday after a sharp move below $60,000 rattled traders last week. BTC recovered after touching $59,101 on Friday, helped by short covering and a fresh Strategy purchase. The bounce gave bulls the needed relief, but it did not erase the market’s weak structure.

Bitcoin Price Reclaims $60K After Saylor Adds More BTC

Bitcoin price regained the $60,000 area after Strategy resumed accumulation. Michael Saylor confirmed that Strategy bought 1,550 BTC for about $101 million. The company paid an average price of $65,332 per coin.

The purchase helped ease concern after Strategy recently disclosed a small Bitcoin sale. That sale was its first since 2022. It raised doubts over whether the firm’s long-running buy-and-hold plan had changed.

Crypto analyst Michaël van de Poppe said renewed buying could weaken the Strategy FUD. His point was direct. If the earlier sale was only a one-time move, then the new purchase may restore some market confidence.

Michaël van de Poppe says Saylor buying again could kill the Strategy FUD | Source X

BTC price jumped as much as 3.8% near $64,200 before giving back part of the move. Ether also rose during the same rebound. Yet traders still treated the move as a relief rather than a confirmed reversal.

DACM executive chairman Richard Galvin said his firm raised cash levels to their highest point in two years. Apollo Crypto portfolio manager Pratik Kala also said sentiment remains “incredibly shaky.”

Bitcoin Price Faces a Key Test as Short Sellers Unwind

Bitcoin price now has two clear levels in focus. Bulls need a daily move above $64,000, accompanied by stronger volume. Bears are watching the $59,100 low, since a break could open the path toward $55,000.

Short liquidations helped drive the recovery. More than $500 million in bearish positions were reportedly closed within 24 hours. That forced traders to buy back exposure, pushing prices higher.

This type of move can be sharp, but it can also fade quickly. A short squeeze does not always show strong spot demand. That is why Bitcoin support around $60,000 remains so important this week.

BTC daily chart analysis also keeps the near-term setup under pressure. Bitcoin price is trading below the 20-day EMA at $69,363 and the 50-day EMA near $72,884. The 100-day and 200-day EMAs sit even higher.

Bitcoin price daily chart | Source: TradingView

That structure shows buyers still have work to do. A move above $64,000 would improve momentum. A failure near that level may leave the BTC price trapped within a narrower range.

Exchange Reserves Keep Bitcoin Price Support Under Pressure

Exchange reserves are the biggest warning sign for bulls. Bitfinex noted that Bitcoin reserves on exchanges rose to 2.72 million BTC during the decline. That shift reversed a months-long outflow trend.

Bitcoin reserves on exchanges | Source: Cryptoquant

This matters because past local bottoms often formed when coins moved away from exchanges. Withdrawals usually suggest investors plan to hold. They also reduce the supply available for quick selling.

This time, reserves are rising while prices are weak. That points to possible selling pressure rather than clear accumulation. It suggests some holders may be moving coins closer to trading venues.

Market analyst Daan Crypto Trades notes that Bitcoin could still form a wide range if buyers defend the low. He pointed to a possible $60,000- $80,000 range for the summer. That view depends on Bitcoin support staying intact.

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