"Bitcoin: Concern of $1 billion long liquidations if $114,000 breaks"

Minseung Kang

Summary

It analyzed that if Bitcoin falls below $114,000, long-position liquidations of about $1,002,000,000 could occur.
Conversely, if it breaks above $117,000, short-position liquidations were estimated at about $594,000,000.
It said that in price ranges where liquidation intensity is displayed as high, market reactions and liquidity shocks can be larger.

An analysis suggested that if Bitcoin (BTC) falls below $114,000, large long (buy) position liquidations could occur.

On the 20th, according to virtual asset (cryptocurrency) specialized media BlockBeats, data platform CoinGlass projected that if Bitcoin falls below $114,000, the cumulative long-position liquidation intensity on major centralized exchanges (CEX) would reach approximately $1,002,000,000. Conversely, if it breaks above $117,000, the short (sell) liquidation intensity was estimated at about $594,000,000.

The outlet explained, "The liquidation map does not actually show the number of contracts awaiting liquidation or the exact amount," adding that "it is an indicator that relatively shows the likelihood of liquidations clustering in specific price ranges." It added, "The higher the liquidation intensity is shown in a range, the more the market reaction and liquidity shock may be amplified when the price reaches that point."

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