Bitcoin Breaks Above $112K as $319M in Shorts Are Liquidated; Focus Turns to U.S.–China Talks and Fed Meeting
Bitcoin (BTC) surged over the weekend, clearing a key resistance level at $112,000 on heavy trading volume before steadying near $114,500 late Sunday (UTC). Data from CoinGlass showed $319 million in short positions were liquidated in the past 24 hours as sellers rushed to cover losses.
At 23:35 UTC on Oct. 26, Bitcoin traded at $114,501, maintaining its upward momentum after a clean breakout. The move unfolded as traders digested new updates on U.S.–China trade consultations and braced for policy signals from this week’s Federal Open Market Committee (FOMC) meeting.
Market Recap
According to CoinDesk Research, Bitcoin climbed from $111,453 to $113,572, fueled by a sharp 318% spike in trading volume around 09:00 UTC, which propelled the asset firmly above the $112,000 threshold.
Momentum extended into midday, producing a series of higher highs before price action cooled into a $113,550–$113,720 consolidation range. Resistance formed around $113,700–$113,733, while a near-term support base emerged near $113,300.
Liquidation Data
Across derivatives platforms, CoinGlass reported total liquidations of $393.74 million over the past day — $319.18 million from shorts and $74.45 million from longs.
The largest single liquidation was a $19.04 million BTC-USD position on Hyperliquid.
The imbalance underscored a short squeeze, where traders betting against the rally were forced to exit en masse, amplifying upside momentum as prices surged through key resistance.
U.S.–China Consultations
Between 12:29 and 12:36 UTC, the Chinese Embassy in Washington shared three posts on X describing “candid, in-depth and constructive” talks in Kuala Lumpur between Vice Premier He Lifeng, U.S. Treasury Secretary Scott Bessent, and U.S. Trade Representative Jamieson Greer.
Discussion topics included:
- Section 301 measures targeting China’s maritime, logistics, and shipbuilding sectors,
- A potential extension of tariff suspensions,
- Fentanyl-related enforcement cooperation,
- Agricultural trade, and
- Export control measures.
The embassy said both sides had “reached basic consensuses” and would refine details through domestic processes. He Lifeng called for “dialogue on equal footing,” stressing that stable trade ties benefit both nations and referencing commitments made by the two heads of state earlier this year.
A follow-up noted that both sides would keep communication channels open and promote stable, sustainable development of bilateral trade — signaling progress in tone but no immediate policy shifts.
Trump–Xi Meeting Expected
On Friday, CNBC reported that President Donald Trump is expected to meet President Xi Jinping on Oct. 30 during the Asia-Pacific Economic Cooperation (APEC) Summit. The White House reportedly hopes to reduce trade tensions and advance negotiations.
Trump told reporters, “We are going to come out very well,” referring to the anticipated meeting.
Fed in Focus
The Federal Reserve’s two-day FOMC meeting wraps up on Oct. 29, followed by a press briefing from Chair Jerome Powell. Markets will be watching for direction on interest rates, balance sheet policy, and the broader monetary path ahead.
For crypto and other risk assets, Powell’s tone — whether hawkish or dovish — could set the tone for short-term price action into November.
