Liquidation Shock in Bitcoin: In the last 24 hours, 160 million dollars of short positions have been liquidated!

Bitcoin price rose above $30,000 for the first time since April 2023. Liquidation occurred in short positions. It rose 8.74% from $28,316 to $30,755 in the last 24 hours. As the price of BTC rose, many short positions were liquidated on multiple exchanges. According to the report, in the last 24 hours, the largest crypto exchanges totaled $160 million in liquid positions.
What is Liquidation?
Liquidation means closing or liquidating a position in the cryptocurrency market. Short position refers to situations where investors have to sell the assets they are in short positions.
In the cryptocurrency market, these situations usually occur depending on price movements. Especially in leveraged transactions, investors open positions with a certain margin and their positions may suffer if the price moves in the opposite direction. In this case, investors who are in short positions are often forced to sell their positions in order to minimize their losses or protect their accounts.
Liquidations are more common during periods of intense market volatility and price movements. Especially rapid and large price drops may expose investors with short positions to liquidity risk. Therefore, it is important to be cautious and apply appropriate risk management strategies when investing in the cryptocurrency market.
Liquidated positions:
Bitcoin rallied above several resistance levels with the latest rally. It has also exited the horizontal channels where it has been trading for several months. Rising from the low of $24,756, BTC has gained more than 24% and looks like a move that could last longer.
Bitcoin's recent rise has spread bullish sentiment in the cryptocurrency market. Other cryptocurrencies, including other altcoins and meme coins, have followed the trend of Bitcoin. Many cryptocurrencies have made significant profits and display chart formations that indicate a trend reversal in favor of the bulls.
Data from several crypto exchanges confirms the predicted trend reversal, supported by a substantial amount of shorts.
Bitcoin short liquidation means that Bitcoin sell orders are closed when a reversal occurs. Such positions are terminated when the market triggers stop-loss orders, with exchanges closing open positions due to limited margin, or with traders optionally closing in order to minimize losses.
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