Bitcoin’s short-term holders have gone from +25% profit in May to -25% loss in December, signaling a wave of capitulation. Analysts believe this could lead to a bottom formation and an opportunity to accumulate. The market is now approaching a crucial price level at $93,330, with a potential short squeeze looming.

The recent bounce in Bitcoin’s price has improved investor sentiment, with a prediction market giving an 80% chance of Bitcoin reaching $100,000. A break above $93,321 could trigger a short squeeze, liquidating $570 million in short positions and accelerating the recovery. Options data also shows a reduction in demand for bearish bets, indicating a potential rebound.

Read more at Yahoo Finance: Bitcoin Short-Term Holder Shakeout Could Accelerate Recovery Above Key Level