Bitcoin Price Movements Could Trigger Significant Liquidations

According to BlockBeats, Coinglass data indicates that if Bitcoin's price falls below $111,000, the cumulative liquidation intensity for long positions on major centralized exchanges (CEX) will reach $1.305 billion. Conversely, if Bitcoin surpasses $114,000, the cumulative liquidation intensity for short positions on these exchanges will amount to $1.365 billion. BlockBeats notes that the liquidation chart does not precisely display the number of contracts pending liquidation or the exact value of liquidated contracts. Instead, the chart's bars represent the relative importance of each liquidation cluster compared to nearby clusters, indicating intensity. Therefore, the chart illustrates the potential impact on the market when the asset price reaches certain levels. Higher 'liquidation bars' suggest that reaching these prices will result in a stronger market reaction due to liquidity waves.