Short Liquidation on the Horizon
As Bitcoin (BTC) continues its upward climb, it’s putting a record number of short positions at risk. A surge of less than 10% from the current price of $71,000 could trigger the liquidation of $1 billion in shorts.
Traders on Edge
Crypto analyst Ash Crypto shared a chart showing the increasing leverage in short positions as BTC’s price rises. Many investors had anticipated a price crash after BTC reached a new all-time high, but the cryptocurrency has defied expectations.
Critical Price Point
If BTC reaches $75,000, over $1 billion worth of short positions will be liquidated. This would be a major blow to traders who have bet against Bitcoin’s rise.
Bullish or Bearish?
The debate continues about whether BTC will continue its upward trajectory or face resistance and decline. Analyst MarcPMarkets suggests that BTC could encounter resistance at $70,000, but a close above $71,500 could signal further gains.
Recent Market Activity
BTC has gained 10.33% in the past week and is currently trading above $71,700. Over $333 million has been lost by traders in the last day, with the majority of liquidations (64.29%) being long positions.
