Is BTC Price Heading to $137K as Shorts Stack Above $104.7K?

Key Insights:

• BTC Price is mirroring Global M2 trends with a 70-day lag; previous patterns led to major rallies.
• Short liquidations above $104.7K could trigger a breakout; clusters act as price magnets.
• Metaplanet now holds 6,796 BTC after a $126.7M buy; aims to reach 10,000 BTC by 2026.

Bitcoin is once again attracting attention as BTC price crossed $105,000, raising hopes for a continued rally. A growing cluster of short positions is now seen above the $104,700 level, which could act as a price magnet.

Alongside this, recent developments such as institutional buying, macroeconomic shifts, and renewed trade agreements are shaping a landscape that some say could drive Bitcoin toward $137,000.

Global M2 Trends Signal Possible BTC Price Upside

Recent analysis shows that Bitcoin’s price action has been following the global M2 money supply with a time lag. M2, often used as a proxy for global liquidity, has seen a rally and slight correction, which previously marked Bitcoin’s major moves.

Fractal patterns identified by analysts, including Titan of Crypto, suggest that Bitcoin tends to lag behind M2 expansions by approximately 70 days. Similar patterns appeared in late 2024 and early 2025. In both cases, M2 peaked first, and Bitcoin rallied soon after. The latest M2 correction may indicate Bitcoin is entering the early stages of another rally phase.

According to market observers, if this trend continues, Bitcoin price could see a strong rally extending into the third quarter of 2025. The projected price range for this wave lies between $110,000 and $125,000, with potential to rise further depending on M2 expansion.

Corporate and Whale Accumulation Supports Bullish Sentiment

Firms and institutional shareholders are increasingly adding Bitcoins assets. A Japanese company, Metaplanet, recently announced their acquisition of 1,241 BTC – nearly $126.7 million. This latest buy brings their total holdings to 6,796 BTC, acquired at an average cost of $89,492 per coin.

Metaplanet, sometimes compared to MicroStrategy, has used zero-interest bonds to fund its Bitcoin strategy. The company has raised capital through bond issuance and stated that it is aiming to reach 10,000 BTC in reserves by the end of 2026. Since the middle of mid-2024, the shares of the company have increased by a significant 1,700%, and it rose further by more than 50% since 2025.

The presence of institutional ‘whales’ is still increasing. According to blockchain analytics platforms, a large investor purchased 1,721 BTC in less than two days and the total valuation was above $179 million. Such purchases signal that major operators remain very interested in Bitcoin, all as the asset thrusts close to record valuations.

US-China Trade Agreement Boosts Market Sentiment and BTC Price

Recent enhancements in trade relations with the United States and China have resulted in an improvement of financial markets’ optimism. U.S. officials said that during discussions that lasted two days in Geneva, both parties came to an agreement. Treasury Secretary Scott Bessent and Trade Representative Jamieson Greer reported the agreement while adding that the talks were successful.

Former President Donald Trump also posted that the meeting was “very good” and “constructive,” mentioning that both sides made progress on several topics. Market sentiment improved following the news, with Bitcoin pushing through the $104,000 resistance shortly afterward.

This move coincided with renewed interest from institutional investors. Nate Geraci, president of the ETF Store, said Bitcoin’s price surge is on the radar of allocators. He added that spot Bitcoin ETF inflows could be closely watched in the coming weeks.

Price Outlook and Key Levels Ahead

Bitcoin price could be starting a later stage in its price exploration cycle. The $104,500 weekly chart level for Bitcoin is seen as a critical achievement. A confirmed close above this point could present an option for opening up towards higher targets and possibly going to $110,000 to $125,000.

Technical indicators such as MACD show a potential reversal trend is in the begging. According to chart signals, it is possible that at the $135,000 level, Bitcoin can be reached if the uptrend persists to be consistent..

A cluster of short liquidations is positioned around the $104,700 mark, which may act as a short-term trigger for increased volatility. If this area is cleared, the resulting movement could add strength to the upward trend.

Following a 10.63% rise in the weekly chart, Bitcoin is currently trading near $105,000. Continued price strength could bring the asset closer to retesting its previous all-time high and potentially pushing toward the $137,000 level.

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