According to recent data from Coinglass reported on October 8 by COINOTAG, the Bitcoin market exhibits significant volatility around key psychological price levels. Should Bitcoin dip below $61,000, the cumulative liquidation of long positions across mainstream centralized exchanges (CEX) could surge to approximately $851 million. In contrast, a breakout beyond $64,000 could trigger a short liquidation wave amounting to about $873 million.
This liquidation analysis underscores the potential market impact, illustrating how liquidity clusters can exacerbate price movements. Notably, the strength of these liquidation orders indicates that as Bitcoin nears these critical thresholds, trader sentiment can pivot sharply. Consequently, awareness of these liquidation dynamics is paramount for investors navigating the crypto landscape. Recognizing when these liquidity waves could occur can enhance strategic decision-making and risk management practices in the inherently unpredictable world of cryptocurrency.
Source: https://en.coinotag.com/breakingnews/bitcoin-liquidation-watch-key-price-levels-for-major-triggers-at-61000-and-64000/