Keeping Our Buy BTC Trade as It Breaks Above Resistance for First Time Since November

<a href="https://xpertsstudio.com/bitcoin-price-prediction-eyes-73-7k-following-range-breakout-market-bitcoin/” title=”Bitcoin Price Prediction Eyes $73.7K Following Range Breakout | Market Bitcoin”>Bitcoin Price Breakout: Keeping Our Buy BTC Trade as It Breaks Above Resistance for First Time Since November

Bitcoin surged to $73K today, breaking above the 200-day SMA for the first time since November as easing Treasury yields and massive short liquidations accelerated the bullish reversal.

Written by:
Skerdian Meta•Thursday, August 20, 2026•2 min read
•Last updated: Thursday, August 20, 2026

Treasury Buybacks Boost Risk Appetite

The rally received support from a shift in the US Treasury market. The Treasury announced plans to expand liquidity-support buybacks for longer-dated government bonds, potentially easing pressure on long-term yields.

Lower yields and a weaker dollar can improve the environment for risk assets, providing support for Bitcoin and other high-volatility markets.

However, macro conditions were only part of the story.

Bitcoin Breaks Above $70,000

Bitcoin extended its recovery on August 20, surging through the $70,000 level and reaching an intraday high of $72,670, its highest level since early June.

The move was technically significant. BTC broke above the 200-day SMA, which had acted as major resistance since November last year, strengthening the bullish reversal that has developed after Bitcoin spent an extended period trading around $60,000.

The breakout has also pushed Bitcoin above key moving averages and reclaimed the 0.5 Fibonacci retracement level, improving the broader technical structure.

$3 Billion Short Squeeze Accelerates the Rally

The more immediate catalyst was an enormous liquidation of bearish positions.

According to CoinGlass data, total crypto liquidations exceeded $3.3 billion over 24 hours, with approximately $3 billion coming from short positions.

As Bitcoin pushed through major resistance levels, forced short covering created additional buying pressure and accelerated the move toward $72,000.

Improving expectations surrounding US digital asset regulation also helped strengthen sentiment.

$73,227 Remains the Critical Barrier

Despite the strong breakout, Bitcoin now faces important resistance at the 0.618 Fibonacci level near $73,227.30.

A sustained move above that area could confirm that the recent rebound is developing into a stronger bullish recovery. However, failure to break higher could trigger volatile consolidation, particularly if the short-squeeze momentum begins to fade.

The key support level is now around $70,265.89.

Bitcoin’s recovery is clearly gaining momentum, but sustained spot demand and continued ETF inflows will be needed to prevent the rally from losing momentum after its explosive short-squeeze-driven advance.

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ABOUT THE AUTHOR
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Skerdian Meta
Lead Analyst
Skerdian Meta Lead Analyst.
Skerdian is a professional Forex trader and a market analyst. He has been actively engaged in market analysis for the past 11 years. Before becoming our head analyst, Skerdian served as a trader and market analyst in Saxo Bank’s local branch, Aksioner. Skerdian specialized in experimenting with developing models and hands-on trading. Skerdian has a masters degree in finance and investment.

Source: www.fxleaders.com