Bitcoin jumped past $82,000 on Sept. 3 as a wave of short squeeze liquidations forced bearish traders to cover, before the rally cooled and the price slipped back to $79,200. Nearly $250 million in short bets were wiped out in the move, and analysts are now watching whether Bitcoin can hold $80,600 support on its way toward $85,000.
Bitcoin jumped past $82,000 on Sept. 3, reversing a slide that had pulled the price down to $76,000 earlier in the week. The rally lost steam near $80,500 before a sell-off dragged Bitcoin back down to $79,200.
The bounce hit short sellers hardest. Nearly $250 million in short positions were liquidated over 24 hours, compared with just $21.5 million in long liquidations. Ethereum moved in tandem, where shorts accounted for roughly 54% of its $184 million in liquidations. Across the wider market, total crypto liquidations reached $758 million, with short bets making up $480 million of that total.
Analysts eye $85,000 next
Crypto analyst Ali Charts says Bitcoin is retesting a breakout after clearing $80,600 resistance and rallying to $82,280. According to Ali Charts: "If $80,600 holds, I'm expecting $BTC to continue surging". If that support holds, he expects a push toward $85,000, approximately 5.5% above the breakout level.
Institutional flows have turned supportive too. U.S. spot Bitcoin ETFs logged $730.8 million in net inflows on Sept. 3, the best daily haul in nearly eight months. BlackRock's IBIT alone attracted $454 million of that total. Separately, prediction market Kalshi shows traders pricing Bitcoin could climb to $90,000 this year.
Institutions frame Bitcoin as a maturing hedge
Fidelity International's 2026 Digital Assets Outlook argues that rising geopolitical tension and fears of currency debasement are creating conditions in which Bitcoin tends to thrive. The asset manager highlights a fixed supply capped at 21 million coins and independence from any single government's monetary policy as traits that make Bitcoin attractive in that environment. Separately, Fidelity notes that corporate treasuries, sovereign wealth funds and private banks have joined the buyer base, a shift Fidelity frames as part of Bitcoin's use as a portfolio hedge.
Sources: Bitcoin News, CoinGape, Crypto Briefing
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