The applied Liquidation Heat Map reveals an extremely leveraged short position in Bitcoin (40x) opened at $111,713. If the market continues to rise, this position may be forced to close at $121,488, representing a significant loss on a position exceeding $141 million.
This potential liquidation zone shows a high density of liquidation points, represented by a dark red cluster on the Heat Map, indicating a significant concentration of forced liquidity.
This phenomenon is observed on Binance, the centralized exchange with the highest volume. Levels between $120,000 and $122,000 show strong liquidation clusters, as can be seen in the chart below.
The coincidence of these levels on two different platforms suggests that they may act as a price magnet if the upward momentum continues, potentially triggering a short squeeze. If the price reaches these levels, it would trigger a chain of forced buying that could accelerate the movement towards higher levels.
Future liquidation levels on the Binance chart below 👇🏼