Bitcoin (BTC<\/a>) bounced past $20,000 on Sep. 9 as a much-anticipated \u201cshort squeeze\u201d took hold.<\/p>\n Data from Cointelegraph Markets Pro<\/a> and TradingView<\/a> showed BTC\/USD adding as much as $2,700 (8.7%) in hours on the day, reaching its highest since Aug. 26.<\/p>\n After weeks of ranging punctuated with successive moves to the downside, Bitcoin thus finally gave bulls what they wanted.<\/p>\n For popular trading Twitter account Il Capo of Crypto, the upside still had potential to continue at the time of writing, with BTC price action eyeing $21,000.<\/p>\n \u201cBears very weak here, imo it keeps going up soon,\u201d he forecast<\/a>.<\/p>\n Il Capo of Crypto had long predicted a relief bounce<\/a> taking Bitcoin to around $23,000 before resumption of the downside trend.<\/p>\n \u201cCrucial for Bitcoin is to flip the $20K area,\u201d Micha\u00ebl van de Poppe, CEO and founder of trading firm Eight, agreed<\/a>. <\/p>\n \u201cIf that happens, $23-25K seems next.\u201d<\/p><\/blockquote>\n Bitcoin short liquidations across exchanges tracked by on-chain monitoring resource Coinglass<\/a> totaled $64 million for Sep. 9, matching the tally from Aug. 11.<\/p>\n The move coincided with a marked correction in U.S. dollar strength more broadly, this coming on the back of a giant benchmark interest rate hike from the European Central Bank (ECB).<\/p>\n Related:\u00a0Bitcoin price hits 10-week low amid ‘painful’ US dollar rally warning<\/a><\/em><\/strong><\/p>\n Previously at twenty-year highs, the U.S. dollar index (DXY) shed a full percentage point to circle 108.6 at the time of writing.<\/p>\n $DXY<\/a> Parabolic Expansion <\/p>\n 107.70 is the 50% retrace fib level from the last swing low. This is the level that will either be the next higher low for continued parabolic expansion, or if we fall below it, will signal that the trend is losing momentum.#Bitcoin<\/a> pic.twitter.com\/skkv3KKRhp<\/a><\/p>\n \u2014 Kevin Svenson (@KevinSvenson_) September 8, 2022<\/a><\/p><\/blockquote>\n Analysts had often argued<\/a> that the fate of crypto markets rests with moves in DXY, which remain unpredictable as the Federal Reserve prepares a fresh rate hike next week.<\/p>\n \u201cBitcoin inverted chart resembles DXY back in 2021,\u201d trader Hamza noted<\/a>.<\/p>\n The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.\n<\/p>\n<\/div>\n![](\"https:\/\/s3.cointelegraph.com\/uploads\/2022-09\/a843838b-a019-4ef8-bdf9-a0bbdda703e8.png\")
Trader: BTC could go to $25,000<\/h2>\n
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DXY “parabolic expansion” sees test<\/h2>\n
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