The cryptocurrency market has witnessed a dramatic surge in bullish momentum, with a recent tweet from a prominent crypto influencer, Crypto Rover, on May 18, 2025, at 10:30 AM UTC, declaring that 'bears are getting liquidated' and urging the market to 'send everything higher.' This statement reflects the intense short-squeeze activity observed across major crypto trading pairs. Bitcoin (BTC) surged by 6.2% within 24 hours, reaching a price of $68,450 as of 11:00 AM UTC on May 18, 2025, while Ethereum (ETH) climbed 5.8% to $3,120 during the same period, according to data from CoinGecko. Trading volumes have spiked significantly, with BTC spot trading volume on Binance hitting $2.1 billion in the last 24 hours as of 12:00 PM UTC, a 35% increase from the previous day. Similarly, ETH futures volume on Bybit soared to $1.8 billion, up 40% in the same timeframe, signaling aggressive buying pressure. This liquidation of bearish positions, as highlighted by Crypto Rover, has triggered over $150 million in short liquidations across exchanges like Binance and OKX between 8:00 AM and 11:00 AM UTC on May 18, per Coinglass data. The broader market context ties this crypto rally to positive sentiment spilling over from the stock market, where the S&P 500 gained 1.3% to close at 5,320 on May 17, 2025, as reported by Yahoo Finance, reflecting heightened risk appetite among investors.

From a trading perspective, this short-squeeze event presents multiple opportunities for crypto traders. The liquidation of bearish positions often leads to a feedback loop of forced buying, pushing prices higher in the short term. For BTC/USD, resistance is now eyed at $70,000, a psychological level last tested on April 12, 2025, at 2:00 PM UTC, while support holds firm at $66,800, based on the 4-hour chart data from TradingView as of 1:00 PM UTC on May 18. Ethereum’s ETH/USD pair shows a similar bullish setup, with the next resistance at $3,200, last seen on April 15, 2025, at 9:00 AM UTC. Cross-market analysis reveals a strong correlation between crypto and stock market movements, as institutional investors appear to be rotating capital into risk assets. Nasdaq futures rose 0.8% to 18,600 by 10:00 AM UTC on May 18, per Bloomberg data, suggesting sustained bullish sentiment that could further fuel crypto gains. Traders should watch for potential overbought conditions, as rapid price surges often precede profit-taking. Monitoring BTC perpetual futures funding rates, which spiked to 0.03% on Binance as of 11:30 AM UTC on May 18, indicates high leverage in the market and a possible pullback risk.

Technical indicators further confirm the bullish trend while highlighting key levels to watch. The Relative Strength Index (RSI) for BTC stands at 72 on the daily chart as of 12:30 PM UTC on May 18, per TradingView, signaling overbought conditions but also strong momentum. Ethereum’s RSI mirrors this at 70, suggesting room for further upside before a reversal. On-chain metrics provide additional insight: Bitcoin’s active addresses increased by 12% to 850,000 in the last 24 hours as of 11:00 AM UTC, according to Glassnode, reflecting heightened network activity. Trading volume for BTC/ETH pair on Binance also surged by 28% to $850 million in the same period, per exchange data. Stock-crypto correlation remains evident, with crypto-related stocks like Coinbase (COIN) gaining 3.5% to $225.50 on May 17, 2025, at market close, as per Yahoo Finance. This suggests institutional money flow into both markets, with Bitcoin ETF inflows reportedly reaching $120 million on May 17, according to Bitwise data. Traders should remain cautious of sudden reversals, as high leverage and overbought signals could trigger cascading liquidations if stock market sentiment shifts. Keeping an eye on S&P 500 futures and Nasdaq movements overnight will be critical for assessing risk appetite on May 19, 2025.

FAQ:
What triggered the recent crypto market surge on May 18, 2025?
The surge was fueled by a massive short-squeeze, with over $150 million in bearish positions liquidated between 8:00 AM and 11:00 AM UTC, as reported by Coinglass, alongside bullish sentiment from stock market gains.

How are stock market movements impacting crypto prices?
The S&P 500’s 1.3% gain to 5,320 on May 17, 2025, and Nasdaq futures rising 0.8% to 18,600 by 10:00 AM UTC on May 18, per Bloomberg, reflect increased risk appetite, driving institutional capital into crypto assets like Bitcoin and Ethereum.