- In 24 hours, Bitcoin liquidated $476M, with the 2.58M that represents the largest single order.
- BTC trades between $96,475–$99,360 support; $101,165 resistance blocks further upside.
- Despite recent market volatility, Bitcoin has now inflated 525% higher from its lows in November 2022.
Bitcoin (BTC) has been quite volatile recently, unable to retain levels above $100,000. Soon after the coin closed briefly above $101,000, it lost its support, failing to hold above the crucial psychological level of $101,000.
This resulting volatility caused big liquidations for traders and analysts who are now assessing what BTC’s next possible moves could be.
Massive Liquidations as Bitcoin Price Loses $101K Support
Significant liquidations occurred in the market due to Bitcoin’s inability to stay above $101,000. Throughout the past 24 hours, liquidations totaled $476.79 million, and 184,678 traders have been liquidated.
CoinGlass data found the largest single liquidation order on Binance’s BTC/USDT trading pair at $2.58 million. Since Bitcoin failed to stabilize above the $100,000 threshold, the losses for traders with a long position were the greatest.
Crypto analyst Ali (@ali_charts) added that an additional $43 million in liquidation may occur should Bitcoin come back down to $92,167.
Critical Support Levels Hold as Resistance Zones Loom
Bitcoin has reclaimed a key demand zone between $96,475 and $99,360, according to Ali.
“As long as this level holds, the odds favor the bulls; especially if the $102,350–$103,900 supply wall breaks,” he explained.
Rekt Capital’s technical analysis reveals that Bitcoin price is trading in a descending channel. Several rejections at $106,148 indicate strong selling pressure, while the $101,165 level is acting as important resistance.
The bearishness will converge at $98,000, which may not be enough to trigger the price to go past $91,070 if the selling hands continue to power out.
Bitcoin Historical Cycles Offer Perspective
Bitcoin’s market performance, despite the current market turbulence, continues to behave according to its historical cycles. During the FTX collapse, the cryptocurrency had increased around 525% from its November 2022 low.
At this point, there is a strong similarity to the 2017 cycle, where Bitcoin increased by 533% from its cycle low at that same time.
Bitcoin’s turning point came when measuring returns against all-time highs at $64,000 in April 2021 and its nominal high at $69,000 in Nov 2021. Even under the growing political and economic pressures, Bitcoin is still trending in the same manner.
Experts Warn of Potential Price Drops
Recently, the CEO of Real Vision, Raoul Pal, advised that crypto investors brace themselves for more price declines before Bitcoin reaches new highs.
Despite predictions that BTC could drop as low as $70,000, he urged investors not to panic, emphasizing the importance of a long-term perspective.
The trend continues with the market consolidating and the traders keenly watching key resistance and support levels. The next move for Bitcoin price will most likely say how the newly formed ascending channel will break above $101,000 and return to lifts and stability.
Disclaimer
This article is for informational purposes only and provides no financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your research before making any financial decisions.
