Bitcoin Faces Correction as Long Liquidations Reach $280 Million
- Bitcoin (BTC) was rejected near $87,000 and corrected below $84,000, leading to $280 million in long liquidations over four hours.
- Key support is identified at $82,000 to avoid a further breakdown into the $60k-$80k range.
- Cumulative spot demand for Bitcoin remains negative at -180,000 BTC over the past month.
- Despite a recent gain of over 35% since mid-August, spot-market demand continues to struggle compared to derivatives markets.
- The aggregate cost basis for US spot Bitcoin ETFs is just below $86,000.
The recent price action highlights ongoing volatility in the Bitcoin market as traders react to liquidity levels and support thresholds. With current cumulative spot demand remaining negative, the focus shifts towards potential recovery in future trading sessions.
As Bitcoin dips under $84,000 with significant liquidations recorded, maintaining support at $82,000 will be crucial for bulls moving forward. (Source)
