Bitcoin and Ethereum Price Levels Could Trigger Over $1.7 Billion in Liquidations

Coinglass data from Jan. 22 highlights potential $717 million in short liquidations for Bitcoin if it surpasses $91,000, while a drop below $89,000 could lead to $317 million in long liquidations.

BTC
ETH

Summary

Coinglass data reveals that if Bitcoin exceeds $91,000, centralized exchanges (CEXs) could see $717 million in short liquidations, while a drop below $89,000 may trigger $317 million in long liquidations. Ethereum's revised liquidation levels indicate potential volatility risks in the market, with $527 million in long liquidations if it falls below $2,900 and $1.239 billion in short liquidations if it rises above $3,100.

Terms & Concepts
  • Long Liquidation: The forced closing of long positions when an asset’s price falls below a certain level, causing traders to incur losses.
  • Short Liquidation: The forced closing of short positions when an asset’s price rises beyond a certain point, leading to trader losses.
  • Centralized Exchange (CEX): A cryptocurrency trading platform operated by a central authority, where transactions are facilitated through company-maintained order books.