#CryptoCharts101#TrumpTariffs #BinanceAlphaAlert
Bitcoin could liquidate $15 billion in short positions if the price rises by 10% - data
Bitcoin traders are looking to maintain and reclaim key levels at the weekly close, but the chances of seizing large liquidity are increasing.
Bitcoin could liquidate $15 billion in short positions if the price rises by 10% - data
Key Points:
Bitcoin is completing a "successful" retest of support as traders' bets increase ahead of the weekly candle close.
Volatility in Bitcoin prices is expected as liquidity analysis shows conditions heavily favor short pressure.
The $100,000 level still represents a potential target in case the price drops again.
Bitcoin
Bitcoin
$105,645
The price of Bitcoin settled at $105,500 at the weekly close on June 8 amid hopes of the end of Bitcoin's price correction.
Bitcoin/USD chart (one hour). Source: Cointelegraph/TradingView
Increased risk of Bitcoin liquidation as the price drops to $105,000
Data from Cointelegraph Markets Pro and TradingView showed that the BTC/USD pair strengthened its recovery after a trip to $100,500 on June 5.
Now, after almost returning to its weekly opening level, Bitcoin has inspired traders once again to bet on the continuation of the rise and the resumption of the uptrend.
"On the daily timeframe, Bitcoin shows signs of breaking its two-week downtrend (light blue) while also turning it into support earlier today," said prominent trader and analyst Rekt Capital to his followers on X while uploading a chart with key levels.
"The daily close and retest at the $106,600 level (black) would be better to enable the continuation of the trend."
Bitcoin/USD daily chart. Source: Rekt Capital/X
Bitcoin had already achieved a daily close above its 10-day simple moving average (SMA) - which trader SuperBro said is a prerequisite for "invalidating the bearish case."
Meanwhile, trader Cas Abi was looking at order book liquidity for signals about price direction.
This served as a build above and below the spot price, prompting Abi to predict a magnet-like move to "acquire" it.
"The Bitcoin liquidation cascade now indicates a bullish move," as summarized on X.
If the price of Bitcoin rises by 10% from now on, $15.11 billion in short positions will be liquidated. Meanwhile, a 10% drop would liquidate $9.58 billion in long positions.
Heat map for Bitcoin liquidations. Source: Cas Abbe/X
Abi noted that negative funding rates indicate the emergence of "large short positions" over the weekend.
"I believe a major move in Bitcoin's price will come next week, potentially pushing it above $109,000 to $110,000," he concluded.
$104,400 is now the key weekly close level
Some see the possibility of retesting more support levels first.
Related: Bitcoin approaches $105,000 after Donald Trump calls for "full" Federal Reserve rate cuts.
In an update to his market predictions for X followers, renowned trader CrypNuevo saw the logical place to build long-term BTC positions at $100,000.
"The $100,000 level is the strongest psychological support, so, as I explained on Sunday, it's the area where I'm building some long positions with the possibility of easily invalidating them below," he wrote, referring to his earlier target of hitting the $100,000 mark.
BTC/USDT daily chart. Source: Cas Abbe/X
Meanwhile, Rekt Capital described the retest of support after the all-time highs in May on the weekly timeframes as "successful."
"Can Bitcoin successfully confirm this test with a weekly close above $104,400 for the fourth consecutive week?" he wondered.
