The source says an inflation shock pushed Bitcoin under the $80,000 level, raising the risk of large forced liquidations in leveraged crypto positions.
Bitcoin fell below $80,000 after what the source describes as an inflation shock, creating pressure on leveraged traders and raising the prospect of as much as $1 billion in liquidations. In crypto markets, liquidations occur when exchanges forcibly close positions that no longer meet margin requirements, often accelerating short-term price moves during volatile conditions.