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Bitcoin futures traders got a rude awakening when the latest CoinGlass figures showed a massive imbalance of 1,364% between long and short positions, with a gap of around $187 million between the two sides.
Thus, on the derivatives liquidation heatmap, BTC shows total liquidations of $218.5 million for the period under review, made up of almost 93% in long positions. Basically, that single cluster explains why price pressure went one way for most of the Asian and early European sessions.
The 24-hour picture is not any gentler. Across all assets, the market cleared over $1 billion in liquidations, with 191,446 traders receiving margin calls. Bitcoin alone saw $406.88 million in long liquidations and $163.07 in destroyed shorts over the day, while the largest single order printed on a BTC/USD derivatives pair was $96.51 million.
Bitcoin price tricks
With a market cap of around $91,282.9 per BTC, and a 4.36% loss in the last 24 hours, it is pretty clear that leverage did the heavy lifting.
When you put the liquidation heatmap and the price chart together, they show a session where forced exits on the long side drove most of the action, and spot just followed the path set by derivatives. This turned the $187 million gap into the day's main reference number for Bitcoin.
Short-term windows show how the pressure built up bit by bit. On the intraday spot chart, the price slid from the mid-$90,000 zone toward the $90,000-$92,000 corridor, dipped briefly under $90,000, then moved sideways as new positions replaced wiped-out ones.
Dan Burgin
Vladislav Sopov
U.Today Editorial Team