[Analysis] "Bitcoin short positions accumulated… possibility of a short squeeze highlighted"

In Binance's Bitcoin market, the world's largest crypto asset (cryptocurrency) exchange, the scale of long position liquidations has exceeded that of short positions.

On the 2nd (Korea time), CryptoQuant contributor BorisD, citing Binance's cumulative liquidations (Cumulative Liquidations·CL) data, analyzed that cumulative short liquidations (CSL) amounted to 4,627,000,000 dollars and cumulative long liquidations (CLL) amounted to 4,634,000,000 dollars. This is the first time in this cycle's bullish phase that long liquidations have exceeded short liquidations.

The contributor said, "This shows that long position liquidations have been concentrated in the recent market, and consequently suggests that a large number of short positions have accumulated," and explained, "Generally, when cumulative long liquidations exceed shorts, the likelihood of short positions being liquidated afterward is high."

He added, "That long liquidations have exceeded shorts shows that this long squeeze has already taken place and entered its finishing stage," and "This suggests that with long positions taken 1~2 months ago having been cleared, short positions may now attract attention as the next target for liquidation."

As of 12:07 PM that day, Bitcoin was up 2.45% from the previous day, trading at 110,424 dollars.