The crypto market has seen a notable resurgence in the last hour, with prices of leading cryptocurrencies including Bitcoin flipping to the positive side.
This hourly price shift has triggered a wild liquidation event in the Bitcoin derivatives market, as data from Coinglass shows a substantial skewing against short positions.
During the last hourly liquidation session, a total of $8.03 million in Bitcoin positions were wiped out, recording a massive $8 million in short positions against just $21,930 in long positions.
Bitcoin short trades under pressure
This massive liquidation imbalance, which happened when the market witnessed a sudden shift in sentiment, has seen short traders suffer the major portion of the liquidation, marking a massive 36,389% liquidation imbalance in just one hour.
Earlier today, Bitcoin had started the day in the red territory as its price had slowed down from the rapid resurgence witnessed the previous day. Nonetheless, Bitcoin later regained its momentum during the latter hours of the day, with its price resuming its rally, putting bearish traders betting against its upsurge in intense pressure.
Bitcoin back on track to reclaim $100,000
While momentum is finally returning to the market amid renewed interest and confidence, the massive short-position wipe-off comes as no surprise, as traders appeared heavily tilted toward downside expectations due to the prolonged volatility witnessed in previous days.
However, the market has pushed Bitcoin back into positive price action amid surging demand from institutions, as Bitcoin ETFs also record impressive daily inflows.
Nonetheless, the short-term windows show how the pressure built suddenly, sparking curiosities about its next price action. Bitcoin’s intraday movement showed that the price slid from an $86,171 low to reclaiming the $90,000, causing the unexpected shift.
Nonetheless, data from CoinMarketCap shows that it has surged decently by 2.61% over the last day, and it is now trading at $89,760 as of writing time.
With these unexpected price moves and the growing demand for the leading cryptocurrency, it appears that Bitcoin is up for a big rally in December, potentially at the verge of reclaiming the $100,000 crucial support level.
Dan Burgin
Vladislav Sopov
U.Today Editorial Team