BTC could hit $125K in 1-2 months on short squeeze, says analyst

Bitcoin could reach $125,000 within the next one to two months, according to Zerostack CEO Daniel Reis-Faria. CoinDesk reports that Faria based his projection on the BTC perpetual futures funding rate, which has fallen to its lowest level since 2023. He explained that such a negative funding rate indicates a significant buildup of short positions. If Bitcoin's price continues to rise, it could trigger a mass forced liquidation of these shorts, leading to a short squeeze that would accelerate the price rally. Faria concluded that this scenario could push BTC to the $125,000 mark within one to two months.