The post Bitcoin Price Movements Could Trigger Major Liquidations appeared on BitcoinEthereumNews.com.

Bitcoin (BTC) and other altcoins are bracing for the upcoming release of critical US inflation data. Scheduled for 15:30 today, this announcement could significantly impact market volatility and drive substantial liquidations. Data from Coinglass indicates that Bitcoin’s price movement beyond specific thresholds could prompt sharp market reactions. What Are the Potential Liquidation Amounts? According to Coinglass, if Bitcoin’s price falls below $55,000, long positions on major centralized exchanges may face liquidations amounting to $765 million. Conversely, if the price surpasses $58,000, short positions could see liquidations reaching $585 million. Access COINTURK FINANCE to get the latest financial and business news. How Does the Liquidation Map Work? The liquidation map provided by Coinglass visually represents the intensity of potential market reactions at specific price levels. The bars in the chart demonstrate the relative significance of each liquidation cluster, indicating that longer bars represent more intense potential market reactions. Market Reaction Predictions Key points derived from the data include: If Bitcoin falls below $55,000, long position liquidations could amount to $765 million, potentially driving prices further down. If Bitcoin exceeds $58,000, short position liquidations could reach $585 million, possibly pushing prices higher. Liquidation events underscore the risky nature of leveraged trading, where price movements can amplify market volatility. As market participants await Bitcoin’s next significant move, both bullish and bearish traders are preparing for potential price swings that could either trigger massive liquidations or create profit opportunities. Currently, BTC is trading at $56,615, which is between the critical liquidation thresholds. Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should conduct their own research. Source: https://en.bitcoinhaber.net/bitcoin-price-movements-could-trigger-major-liquidations

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Filed under: News - @ September 11, 2024 12:23 pm