Bitcoin Bears Face $800 Million Liquidation Risk if Price Hits $93,000
Bitcoin (BTC) recently reached multiple all-time highs since Donald Trump won the 2024 US presidential elections. Although there has been a slight pullback, a rebound could challenge bearish traders.
Bitcoin Bears Could Be Under Trouble
Analysis by crypto analyst Ali Martinez indicates that over $800 million is at risk of liquidation if BTC reclaims the $93,000 price level, which is close to its current all-time high of $93,477.
As of this writing, BTC trades at $89,480, down 1.9% in the last 24 hours. The next significant support level appears around $86,000. A drop below this could lead to further declines toward $81,600 or $79,700.
If BTC reclaims the $93,000 mark, it could trigger over $800 million in liquidations, pressuring bearish positions. Data from Coinglass shows that contracts worth over $508 million were liquidated within the past 24 hours, with $355 million being long and $153 million short positions.
Crypto analyst @CryptoKaleo supports Martinez's concerns, suggesting that BTC may dip to $86,000 before rallying to set new all-time highs, potentially exceeding $100,000.
Just a little dip and a bit more ranging then send to $100K+. Honestly think this is the best case scenario for alts if we somehow get it. Would look for outperformance while BTC is accumulating around $90K.
What’s Behind BTC’s Run?
Factors contributing to BTC's price surge include the halving earlier this year, approval of Bitcoin exchange-traded funds (ETFs), and increasing institutional adoption. Trump's election win is viewed as pro-crypto, significantly boosting BTC prices from around $69,000 to $93,000, marking over a 30% increase in ten days.
Experts believe BTC still has potential for growth, with predictions indicating bullish momentum may continue until mid-2025. Low profit-taking during this rally could also drive BTC higher, although caution is advised due to a significant CME gap near the $78,000 level, which may attract corrective price action.
The total cryptocurrency market capitalization currently stands at $2.904 trillion, reflecting a 3.7% decline over the past 24 hours. Bitcoin dominance is at 60.97%, highlighting BTC's strength in the market.
