In recent market activity, Bitcoin experienced significant long liquidation squeeze events on Binance, which were triggered immediately after BTC's price dropped below the $101K level.
The $160M Long Liquidation Event on Binance:
* The recent long squeeze event on Binance resulted in over $160 million in liquidations, primarily affecting leveraged long positions. The liquidation cluster was concentrated around the $101,000 price level, as seen in the BTCUSDT chart.
* Such liquidation events often lead to short-term volatility but can also create buying opportunities for long-term investors.
Bitcoin Withdrawals from Binance:
* Following the liquidation event, Binance recorded outflows exceeding 4,000 BTC, signaling a shift in investor behavior.
* The last major deposit spike occurred on May 22, followed by sustained withdrawals.
Long-Term Holders (LTH) Activity During Bitcoin's Liquidation Events:
* While short-term traders faced brutal liquidations, long-term holders (LTH) were showing a very different behavior.
* According to the STH/LTH Net Position Realized Cap chart, the LTH realized cap has now surged past $37 billion — a level not seen since june 2023.
Conclusion: What’s Next for Bitcoin?
1- The recent market activity highlights three critical dynamics:
2- Leverage Reset – The long squeeze at $101K flushed out weak hands.
3- Supply Shock – Exchange outflows signal accumulation by strong holders.
Although retail investors may be unsettled by noticeable liquidations or price fluctuations, on-chain indicators provide a more detailed and balanced perspective.
If these moves continue, they could lay the groundwork for a more sustainable bullish structure—once the weak hands are cleared and long-term holders have reloaded.
Written by Amr Taha
