Bitcoin Faces Liquidation Risk Between $73.8K and $74.4K Due to Market Dynamics

Current market conditions indicate heightened risks for cryptocurrencies, especially bitcoin. Key points include:

Bitcoin may drop below $74,000, potentially triggering liquidations of leveraged long positions.
The unwinding of Treasury market arbitrage bets is underway, linked to a rise in U.S. 10-year and 30-year Treasury yields, now at 4.5% and nearing 5%, respectively.
Increased volatility has impacted the S&P 500, which fell 2%, and bitcoin briefly dropped below $75,000 before recovering to around $76,000.
The MOVE index, indicating price turbulence in the Treasury market, reached its highest level since October 2023 at 140.
Liquidation risks for bitcoin are concentrated in the $73,800-$74,400 range, with potential for further declines if these levels are breached.
Estimates show long liquidation clusters at $73,800-$74,400, $69,800-$70,000, and $66,100-$67,700.
Upside liquidation zones identified include $80,900-$81,000, $85,500-$86,700, and $89,500-$92,600.