The Bitcoin market shows heightened tension as the price trades near $97,300 and tests key resistance levels.
CoinGlass data indicates that a Bitcoin price increase of 3.14% to reach $100,000 could liquidate approximately $3.36 billion in short positions.
Potential for Large Short Liquidations Near $100K
This scenario creates risk for bearish traders.
A breakout above $100,000 could potentially trigger further buying and broader market enthusiasm beyond closing those shorts.
Key Liquidation Levels Identified
Cumulative liquidation data highlights specific vulnerable price zones.
If the price drops below $95,000, particularly approaching $93,000, liquidations impacting long positions could total around $60 million.
Conversely, if Bitcoin surpasses the 98,000-99,000 range, the market might experience significant short liquidations, potentially reaching $400 million.
These liquidations could provide momentum for Bitcoin to break the $100,000 level.
High Leverage Concentrated in Current Range
Recent data from the Binance BTC/USDT pair reveals that highly leveraged contracts (50x and 100x) are prevalent in the 95,000-98,000 price zone.
This concentration increases the potential for sharp price movements.
Analysts suggest that even minor positive news could push the price higher in this environment.
Institutional investors are reportedly monitoring this volatility, potentially viewing it as an opportunity before a possible move to new all-time highs.
Market Poised for Potential Major Move
From a pro-crypto standpoint, Bitcoin is poised to undergo a crucial test close to $100,000, further solidifying its reputation as a digital asset.
Bullish traders anticipate that breaking the 103,000–115,000 resistance zone could trigger massive short liquidations, potentially pushing the price toward $130,000.
The prevalence of high leverage (25x, 50x, 100x) in the market means small price changes can cause significant cascading effects.
Ongoing institutional adoption and ETF inflows provide a positive framework for the coming months.
Also Read: Arizona Lawmakers Approve Bills Permitting State Investment in Bitcoin
