Bitcoin faces quantum scrutiny as leveraged shorts eye liquidation risk zone
The post Bitcoin faces quantum scrutiny as leveraged shorts eye liquidation risk zone appeared on BitcoinEthereumNews.com.
Bitcoin faces quantum computing scrutiny and heavy leveraged short positioning, with SOPR stabilization, ETF inflows and CME gap levels shaping whether a 10% move triggers a cascade of liquidations. Summary Quantum computing risks are drawing institutional attention, raising governance and upgrade questions as ETF-driven ownership concentrates capital. CoinGlass maps show clustered short liquidations near 10% above spot, while CME gap zones and weekend liquidity amplify the risk of sharp squeezes. SOPR signals show short-term selling pressure easing and ETF flows flipping positive, hinting at a potential rebound if key trigger levels break. Bitcoin’s potential vulnerability to quantum computing threats has drawn attention from institutional investors, while derivatives markets show concentrated short positions vulnerable to liquidation on a 10% price rally, according to market data and industry observers. Venture capitalist Nic Carter stated that large institutional holders could pressure Bitcoin developers if potential quantum computing threats are not addressed, according to reports from Coin Bureau. The comments come as institutional exposure to Bitcoin has expanded through spot exchange-traded funds and custodial products. Liquidation data analyzed over the weekend indicated that a significant volume of short positions would face unwinding on a 10% upside move, while substantial long positions remained exposed to liquidation on an equivalent decline, according to trader Ted Pillows, who shared the analysis on social media platform X. Pillows’ figures showed that leveraged short positions outweighed vulnerable long positions, creating conditions where an upward price movement could trigger rapid buybacks. The analysis identified specific trigger levels that could open a path toward higher price zones, while noting a nearby area tied to a Chicago Mercantile Exchange futures gap. CoinGlass liquidation maps reflected elevated leverage across derivatives venues, with open interest clustering around round-number strikes. The positioning followed weekend momentum periods, when reduced liquidity often amplifies price movements. On-chain analyst…
Filed under: News - @ February 16, 2026 10:29 am