- $1.150 billion in longs set to be liquidated when BTC hits $106,700.
- Short-term holders capitulate at a loss, marking billions in losses.
- Analysts debate between bull vs bear outcomes.
The crypto market faces yet another steep price drop today, when the price of BTC fell to the $111,000 price range and is now trading in the $112,000 price range. With the price of BTC on a steady decline, $1.150 billion in longs set to be liquidated when BTC hits $106,700. Analysts also notice that over 30,000 BTC, worth about $3.39 billion at $113,000, were moved to exchanges at a loss as short-term holders capitulate.
$1.150 Billion in Longs Set to be Liquidated When BTC Hits $106,700
The crypto market experienced another decline in price today, with the price of BTC trading between $111,000 and $112,000, from where it was trading yesterday at $114,000. With the continuing decline in prices, analysts are debating over how far the price of BTC can decline and at what price BTC will close in the month September. This debate is sparking bull vs bear direction for Bitcoin.
Yesterday, the price of BTC fell dramatically, causing a hard price liquidation. To highlight, within an hour, $230 million worth of crypto longs were liquidated, and within the day, $1.524 billion in longs were liquidated. As we can see from the post above, $1.150 billion in long liquidations will occur if the price of BTC falls to $106,700, and the analyst believes market makers are eyeing this level.
Ever since Bitcoin set its latest ATH price in August at the $124,000 price level, analysts have been debating over what would come next for BTC. On the bull front, it was expected that the price of BTC would shoot up to new ATH prices, however, a correction and price dips were expected first. This is because the month of September has usually been a bearish month for Bitcoin and crypto.
Thus, some analysts expected a bull correction that would turn the crypto market bearish for a short time, with the price of BTC dropping below 6-digit prices and falling as low as the $90,000 price range. This outcome is now being expected by a few reputed analysts, one of whom believes the bear market would take over. However, others believe all signs point to a recovery in the long term with a new ATH in Q4.
Short-Term Holders Capitulate
Amidst the latest dip, over 30,000 BTC worth $3.39 billion at $113,000 were moved to exchanges at a loss as short-term holders capitulate. Traders are now debating over what moves can occur next, with billions in liquidity sitting at both bull and bear targets. Analysts are eagerly waiting to see what direction BTC will move in by Q4 and are making smart trades to make the best of either or both outcomes.
