Bitcoin’s Breakout Potential: Understanding Liquidation Intensity Ahead of All-Time Highs

According to recent data from Coinglass, as reported by COINOTAG News on November 6th, the landscape of Bitcoin trading is poised for significant volatility. Should Bitcoin surpass its all-time high, the total short liquidation intensity on major centralized exchanges (CEXes) could soar to approximately $215 million. Conversely, a decline beneath the $68,000 mark might trigger cumulative long liquidations nearing $484 million. It’s essential to recognize that the liquidation chart does not depict the precise number of liquidated contracts but rather highlights the relative significance of each liquidation cluster. This analysis underscores how various price thresholds could provoke varying degrees of market reaction. The heightened intensity indicated by larger bars in the liquidation chart suggests that as specific price levels are attained, a pronounced liquidity cascade could ensue, leading to amplified market movements.