Here's what happened when Bitcoin ripped through $87K on Monday and then got dragged back under $84K by Wednesday.
Every leveraged trader knows this exact pain. You catch what looks like a real bounce, add size, and the market turns around and takes the other side of the book before you can even adjust.
Monday's rally above $87K already liquidated hundreds of millions in shorts. Wednesday's drop then wiped out about $230 million in a single hour, with $223 million of that coming from longs. $BTC and $ETH made up more than half of the total.
We have seen this movie. A violent short squeeze gets treated as a trend change, leverage piles in, and the reversal is just as mechanical. The extra pressure this time came from renewed uncertainty around U.S.,Iran negotiations, which hit risk sentiment right when longs were most crowded.
Compare it to earlier cascade weeks in 2022 or the choppy 2024 range, and the pattern is familiar. One side gets flushed, then the other.
Anyone else seeing this squeeze-and-reverse setup, or do you think we finally find a floor?
#Bitcoin #Liquidations #CryptoMarkets
Every leveraged trader knows this exact pain. You catch what looks like a real bounce, add size, and the market turns around and takes the other side of the book before you can even adjust.
Monday's rally above $87K already liquidated hundreds of millions in shorts. Wednesday's drop then wiped out about $230 million in a single hour, with $223 million of that coming from longs. $BTC and $ETH made up more than half of the total.
We have seen this movie. A violent short squeeze gets treated as a trend change, leverage piles in, and the reversal is just as mechanical. The extra pressure this time came from renewed uncertainty around U.S.,Iran negotiations, which hit risk sentiment right when longs were most crowded.
Compare it to earlier cascade weeks in 2022 or the choppy 2024 range, and the pattern is familiar. One side gets flushed, then the other.
Anyone else seeing this squeeze-and-reverse setup, or do you think we finally find a floor?
#Bitcoin #Liquidations #CryptoMarkets
