Bitcoin’s rise to $96.9K could trigger $9.6B short position liquidation
Crypto Briefing
A Bitcoin rally toward $96,900 risks liquidating approximately $9.6 billion in leveraged short positions.Summary
If Bitcoin's price rises to approximately $96,900, it could trigger the forced closure of about $9.6 billion worth of short positions, according to current liquidation map data. Short liquidations happen when leveraged bets against Bitcoin fail to meet margin requirements due to sudden upward price movements, forcing exchanges to automatically close these positions. This concentration of short selling creates a vulnerability where a sustained price increase could initiate a cascade of liquidations, potentially leading to a short squeeze as sellers buy back Bitcoin to cover their losses, further driving the price up. At the time of reporting, Bitcoin was trading at $86,583.
(Source：Crypto Briefing)