Analyst Willy Woo warns that a cascade of liquidations could occur when Bitcoin (BTC) reaches $72,000. He estimates that $1.5 billion worth of short positions are vulnerable to liquidation up to $75,000.
Bitcoin Macro Oscillator (BMO)
Woo also analyzes the BMO, which measures market sentiment. He notes that the BMO has recently moved down one level and has 2-3 levels to climb before reaching a market top.
Technical Indicators
Woo explains that the recent consolidation period has been positive for Bitcoin and indicates that it has room to grow before peaking. He uses technical indicators such as MVRV, VWAP, CVDD, and Sharpe Ratio to assess the market.
Current Price
At the time of writing, BTC is trading at $71,121. Woo’s analysis suggests that a significant liquidation event could occur as Bitcoin approaches $72,000.
