Crypto markets faced $635.9 million in liquidations in 24 hours, primarily involving short positions. Bitcoin led with $293 million wiped out as its price surpassed $94,000. Crypto analyst Mister Crypto anticipates liquidity building around $100,000 could lead to a short squeeze. However, some experts advise caution regarding Bitcoin’s climb to this target price due to macroeconomic factors.
In the last 24 hours, the cryptocurrency markets experienced a significant wave of liquidations amounting to $635.9 million, predominantly affecting short positions. A staggering $560 million of these losses were incurred by bearish traders, indicating increased pressure. The leading cryptocurrency, Bitcoin (BTC), saw $293 million in short positions liquidated as its price surged past $94,000, achieving a 6.29% increase in just one day, according to CoinGlass.
Ether (ETH) also faced considerable short liquidations, with losses exceeding $109 million as its price rose nearly 10% to $1,787. Data from various exchanges indicates Binance was the primary platform for these liquidations, contributing $18.7 million in just four hours, with 77.58% of that targeting short positions. Other exchanges like Bybit and OKX also reported notable liquidation activity, reflecting widespread market volatility.
Amid this turbulence, crypto analyst Mister Crypto highlighted that liquidity for Bitcoin is accumulating around the $100,000 level. He suggested that bearish traders are becoming increasingly desperate, possibly setting the stage for a short squeeze that could propel Bitcoin toward this target price.
A short squeeze occurs when a rapid price increase forces traders who shorted a security to cover their positions, which can intensify further price escalation. Mister Crypto shared a Binance BTC/USDT Liquidation Heatmap that emphasised substantial trading activity and liquidation orders accumulated around $100,000.
As of April 23, Bitcoin has reached a 45-day high, trading at $94,236 and recording an over 6% gain in the past day, based on CoinMarketCap’s data. However, some experts remain sceptical about the cryptocurrency hitting the $100,000 mark imminently. Vincent Liu, chief investment officer at Kronos Research, expressed that while the climb to $94K is a sign of renewed optimism, key macroeconomic indicators, including the upcoming Federal Open Market Committee (FOMC) meeting and ongoing trade negotiations, will significantly impact Bitcoin’s trajectory.
