Bitcoin Reclaims $63,000, Triggers Over $540 Million in Liquidated Shorts, Analysts Remain Cautious of Rally's Sustainability

June 8 — Bitcoin rallied roughly 7.5% from a low of $59,400 over the weekend, briefly topping $63,800 on Monday. This bounce sparked a massive short squeeze: CoinGlass data shows the crypto market recorded $539 million in short liquidations alone on Sunday, the highest daily total since mid-April. Over the past 24 hours, total market liquidations topped $588 million, with around $444 million stemming from short positions. Stats show Bitcoin futures open interest fell from ~285,000 BTC last Friday to 255,000 BTC, signaling the recent upside was primarily fueled by the short squeeze. Meanwhile, the Spot and Perpetual Contract Volume Delta (CVD) has bounced back off its lows, pointing to a pickup in market buying pressure. That said, U.S. investor demand hasn’t bounced back sharply. The Coinbase Premium Index, which tracks U.S. fund flows, climbed from -0.048 last week to -0.035 but still sits in negative territory. Separately, SoSoValue data shows U.S. spot Bitcoin ETFs posted net outflows of $1.72 billion last week, marking ongoing institutional sell-offs. On the sentiment front, the Crypto Fear & Greed Index slid to 8 — its lowest point since February 2026. Current projections from Myriad market participants put a 73% chance that Bitcoin will retest $55,000, versus a smaller probability of it climbing to $85,000. Paul Howard, Senior Director at Wincent, noted current CME Bitcoin volatility sits around 50 — a level hit only a handful of times over the past year — so he’s cautious about the rebound’s sustainability. Adam Haeems, Head of Asset Management at Tesseract Group, highlighted that U.S. spot Bitcoin ETFs have logged outflows for 13 straight trading days, totaling roughly $4.4 billion. Robust U.S. non-farm payroll data has markets rethinking rate hike bets, driving capital into AI stocks and major IPO projects. He argues the current rally is more a technical bounce off a key long-term support level than a confirmed trend reversal.