BTC breaks below $80,000: even red candles look scary; leverage is even more nerve-racking 😶
The snapshot recorded #BTC at $79,826, breaking through the psychological $80,000 level. The question now is: who’s selling, and can buyers absorb the pressure?
A report dated October 15, citing CoinGlass, recorded around $977 million in positions liquidated over 24 hours, of which nearly $896 million were long positions. These figures cover the entire crypto market at the time of the report—not just BTC, and not necessarily the exact moment the snapshot was taken.
Why can prices fall so fast?
Hotter-than-expected US core CPI has investors worried that the Fed may tighten policy further. That’s a headwind for risk assets. As prices keep falling, under-margined long positions are forcibly closed, adding more pressure and potentially triggering another wave of liquidations.
Put simply: you were waiting for a bounce to get out, but the exchange closed your position first.
What I’m watching after this drop:
• Can BTC reclaim and hold $80,000?
• Is open interest falling alongside the liquidations?
• Is spot buying absorbing the selling, or is the price only bouncing because short sellers are closing their positions?
#ETH and altcoins also need to be watched separately. A BTC recovery doesn’t mean the whole portfolio will recover at the same pace, especially coins with thin liquidity.
And don’t jump to the conclusion that “the shakeout is over, and we’re ready to take off.”
Heavy liquidations show that many leveraged positions have been cleared out of the market. They don’t prove that sellers are exhausted or that buyers are strong enough to form a bottom.
$80,000 is an easy-to-remember round number. Whether the market can hold it depends on the flow of funds after this break below the level.
#BTC $BTC $ETH
The snapshot recorded #BTC at $79,826, breaking through the psychological $80,000 level. The question now is: who’s selling, and can buyers absorb the pressure?
A report dated October 15, citing CoinGlass, recorded around $977 million in positions liquidated over 24 hours, of which nearly $896 million were long positions. These figures cover the entire crypto market at the time of the report—not just BTC, and not necessarily the exact moment the snapshot was taken.
Why can prices fall so fast?
Hotter-than-expected US core CPI has investors worried that the Fed may tighten policy further. That’s a headwind for risk assets. As prices keep falling, under-margined long positions are forcibly closed, adding more pressure and potentially triggering another wave of liquidations.
Put simply: you were waiting for a bounce to get out, but the exchange closed your position first.
What I’m watching after this drop:
• Can BTC reclaim and hold $80,000?
• Is open interest falling alongside the liquidations?
• Is spot buying absorbing the selling, or is the price only bouncing because short sellers are closing their positions?
#ETH and altcoins also need to be watched separately. A BTC recovery doesn’t mean the whole portfolio will recover at the same pace, especially coins with thin liquidity.
And don’t jump to the conclusion that “the shakeout is over, and we’re ready to take off.”
Heavy liquidations show that many leveraged positions have been cleared out of the market. They don’t prove that sellers are exhausted or that buyers are strong enough to form a bottom.
$80,000 is an easy-to-remember round number. Whether the market can hold it depends on the flow of funds after this break below the level.
#BTC $BTC $ETH