Bitcoin is showing early signs of regaining momentum after breaking out of a two-month downtrend against the Nasdaq. The shift comes at a moment when BTC still trades 25% below its October all-time high, while the Nasdaq sits only 2% below its own peak. This widening gap has created a clear divergence, and analysts now expect Bitcoin to begin closing that performance lag.
The BTC/Nasdaq ratio chart highlights the change in behavior. The downtrend that held throughout October and November has finally snapped, marking the first clean breakout in weeks. This move signals that Bitcoin may start outperforming U.S. equities again after a muted period.
A Catch-Up Rally Becomes More Likely
Ash Crypto notes that Bitcoin could target $110,000 or higher if price secures a close above $103,000 and reclaims its 50-week simple moving average. The logic is simple: Bitcoin lagged during the recent equity strength and now has room to recover. A confirmed weekly close above resistance would strengthen the case for a continued upward rally.
BTC/NASDAQ just broke out of a 2-month downtrend, and it looks like it’s time for Bitcoin to outperform U.S. stocks.
Bitcoin is still down -25% from Oct ATH, while Nasdaq is only 2% down from ATH.
We should see a catch up rally to $110k+ if BTC can close above $103k, 50W sma. pic.twitter.com/WhJz9ju2z6
— Ash Crypto (@AshCrypto) December 9, 2025
Momentum pressure is also visible on the liquidation heatmap shared by Cointelegraph. If Bitcoin pushes above $100,045, nearly $6 billion in short positions face potential liquidation. The bulk of this leverage sits across Binance, OKX, and Bybit. A trigger above that level could create a cascading effect similar to earlier breakout phases this year.
🚨 ALERT: If Bitcoin breaks above $100,045, nearly $6 billion in short positions could be liquidated. pic.twitter.com/VJGjTUFp2Z
— Cointelegraph (@Cointelegraph) December 9, 2025
Chart Signals Point Toward Building Strength
The ratio chart shows the breakout forming at the exact point where momentum historically shifts back to Bitcoin. Previous downtrend breaks led to multi-week periods of BTC outperformance against major stock indices. This new break suggests a similar dynamic may be forming.
At the same time, the liquidation map places heavy short interest just above current trading levels. That combination, technical breakout and stacked short liquidity, creates a setup where Bitcoin can move quickly if buyers push price through resistance.
What Comes Next
The next key test sits at $100,045, where short liquidations begin. Clearing this zone would likely create a liquidity vacuum and accelerate a move toward $103,000. Above that level, the structure opens toward the $110,000 region referenced by Ash Crypto.
For now, the breakout against the Nasdaq serves as the early signal. Bitcoin has finally stopped underperforming stocks, and the market is watching whether this shift evolves into a full catch-up rally.
