A further 0.8% gain in Bitcoin would trigger the position’s wipeout, according to blockchain analytics account Lookonchain.
Bitcoin was climbing toward a key liquidation threshold for a large bearish wager, with a trader’s short position of 1,600 BTC at risk of being wiped out if the price rises another 0.8%. The position is valued at $103 million, according to Lookonchain, a blockchain analytics account that tracks large on-chain and exchange-linked positions. In derivatives markets, liquidation happens when losses breach margin requirements, forcing a position to close automatically and often amplifying short-term price swings.