PANews December 16 news, Singapore crypto investment institution QCP Capital published today that early in the Asian session, Bitcoin (BTC) soared above $106,500, reaching another milestone. In the past 12 hours, the total amount of short liquidation reached about $151 million, driving this round of gains, due to insufficient market liquidity and traders' complacency over the weekend (Deribit exchange's funding rate once turned negative), causing the market to squeeze short positions on the upper side. The Bitcoin to Gold ratio reached a record high during this wave of market, further highlighting Bitcoin's status as "digital gold" and consolidating its position as a more popular means of storing value than traditional gold.
Sentiment was further boosted by the inclusion of MicroStrategy in the Nasdaq 100 Index. Michael Saylor hinted that the company may continue to buy Bitcoin even if the spot price exceeds $100,000. The inclusion may attract passive funds into MicroStrategy shares, indirectly making it easier for the company to raise funds to buy Bitcoin. This week's Federal Reserve meeting seems to be just insignificant background information for Bitcoin, as Bitcoin's movements remain firmly driven by market sentiment. Although unlikely, if the Fed and Powell take an extremely dovish stance, it may still provide support for Bitcoin's further rise.
