Liquidation Radar
With liquidation data, first look at who was forced out.
$NBIS Long liquidations show that leverage was flushed out first. Whether the market can stabilize depends on the buying support after the liquidations.
$CRCL Most of the positions wiped out were longs. The higher liquidations are as a share of trading volume, the more directly they affect prices during that period.
$BTC Long liquidations dominated. First see whether buyers step in after the drop; don’t mistake the first rebound candle for a recovery.
Look at the price response afterward, then judge whether this liquidation had any lasting impact.
With liquidation data, first look at who was forced out.
$NBIS Long liquidations show that leverage was flushed out first. Whether the market can stabilize depends on the buying support after the liquidations.
$CRCL Most of the positions wiped out were longs. The higher liquidations are as a share of trading volume, the more directly they affect prices during that period.
$BTC Long liquidations dominated. First see whether buyers step in after the drop; don’t mistake the first rebound candle for a recovery.
Look at the price response afterward, then judge whether this liquidation had any lasting impact.