Bitcoin reached an intraday high of $87,395 on September 21, marking its highest level since January 29. The asset rose 4.90% over 24 hours, supported by a weekly close above the 50-week moving average and a short squeeze that triggered $746.6 million in liquidations, with $647.9 million coming from short positions. Total market trading volume increased by 39% to approximately $224 billion.
Institutional activity intensified as Strive acquired 1,355 Bitcoin for $107.7 million between September 14 and September 18, bringing its total holdings to 26,355 coins. MicroStrategy also purchased 950 Bitcoin, increasing its total to 846,000 coins. Spot Bitcoin ETFs recorded inflows of $999 million on September 21, pushing total net assets to $110.1 billion, up from $102.5 billion.
Despite the growth, analysts point to two cautionary signals. Open interest in derivatives rose 7.59% to $156 billion, indicating that traders are increasing leverage. Additionally, the Coinbase Premium Index remains negative at -0.028, suggesting that buying pressure from US investors has not yet fully recovered. The Crypto Fear and Greed Index currently sits at 78, reflecting a state of extreme greed.
Monthly inflows into spot Bitcoin ETFs remain lower than in the previous month. The funds have attracted approximately $1.3 billion over 14 sessions in September, compared to $3.5 billion in August. Market sentiment data from Santiment shows a significant rise in bullish social volume, reaching 954 mentions compared to 269 bearish mentions, the highest level since December 2024.
