Bitcoin traders eye $93.5K liquidation sweep despite Fed interest rate pause

Bitcoin market participants are demonstrating a highly aggressive posture, focusing on extreme price targets following the recent announcement by the Federal Reserve to maintain the current interest rate structure. While the Fed’s pause was widely anticipated and provides a generally supportive backdrop for risk assets, short-term and highly leveraged traders are fixated on a massive upside move that could push Bitcoin’s price to approximately $93,500.

### The Macro Catalyst: Fed Stability

The decision by the Federal Open Market Committee (FOMC) to hold rates steady signals a stability period, easing pressure on the U.S. dollar and often leading to increased liquidity flowing into non-yielding assets, including cryptocurrencies. Historically, periods of Federal Reserve rate stagnation or loosening have correlated with strong performance in Bitcoin, providing the fundamental undercurrent for sustained upward pressure.

### The Technical Target: The $93.5K Sweep

Analysis of Open Interest (OI) and liquidation heatmaps suggests a significant clustering of short positions established at price levels well above the current trading range. A liquidation sweep occurs when the market price rapidly rises to trigger the forced closure of these leveraged short bets, causing a cascading effect known as a short squeeze. Data models indicate that $93,500 represents a crucial inflection point where a substantial volume of short leverage would be wiped out, potentially fueling a parabolic spike.

Traders believe that if Bitcoin can successfully breach intermediate psychological resistance levels—specifically the prior cycle peak and the $75,000 threshold—the momentum gained from cascading liquidations could propel the asset rapidly toward the six-figure benchmark. The $93.5K target is seen not merely as a resistance level, but as a technical magnet drawing price action toward maximum pain for heavily leveraged shorts.

### Market Risks and Leverage

While the upside potential is significant, the market remains highly leveraged. The aggressive target implies that traders are willing to take substantial risk, betting on institutional capital injection and spot ETF inflows to sustain the momentum required for such a violent move. Should the price fail to break critical immediate resistance points, a sharp correctional move could liquidate overly ambitious long positions, leading to increased volatility in the short term, even as the macro environment remains generally favorable.

Source: Bitcoin traders eye $93.5K liquidation sweep despite Fed interest rate pause