The Bitcoin price has encountered a significant setback as sellers gain control, pushing the price under $93,000. This development has resulted in substantial losses for margin traders who were sitting on long positions. The total crypto market liquidations on the buy side have reached $337.6 million over the past 24 hours.
Crypto Market Liquidations
The heavy selling pressure can be seen in the chart below depicting volume-by-side data for major centralized exchanges and showing significant selling at exchanges offering perpetual futures trading.
BTC/USD and BTC/USDT CEX Volume by Side
| Exchange | Buy | Sell |
| — | — | — |
| Binance | 43.6% | 56.4% |
| Huobi | 40.1% | 59.9% |
| OKEx | 38.5% | 61.5% |
| Bybit | 36.2% | 63.8% |
Source: TRDR.io
Beyond Forced Selling: Long-Term Holders as Culprits
While the forced selling of margin longs (liquidations) has been a significant factor in the current selling, Glassnode identified Bitcoin long-term holders (LTHs) as another key contributor to the market’s woes. The analysts pinpointed the 6-month to 12-month LTH cohort as the primary sellers, with an average cost basis that is 71% lower than the market price (~$57.9K).
Things are Getting Heated!
#Bitcoin long-term holders (LTHs) have come out in force, with selling pressure hitting -366K #BTC/month – the highest since April 2024.
But who is actually selling? Let’s dig deeper: https://t.co/hr64gBGUCd
The Delicate Balance of Financial Markets
Financial markets are always a delicate balance between buyers and sellers. Today’s price action saw the bias shift from shorter-term sentiment being spot and leveraged long to short. As liquidations ramped up and Bitcoin price dropped closer to $90,000, a surge in short positions opened, and BTC’s funding rate climbed from 0.019 to a peak at 0.04.
BTC/USD 1-Day Chart
Source: TRDR.io
Related: Who Cares About $100K? 5 Things to Know in Bitcoin This Week
The current market situation has led to increased volatility, and traders are weighing their options. Some are looking for opportunities to bid at lower price levels.
BTC/USDT Liquidation Map
Source: CoinGlass
Liquidation map data now suggest that a Bitcoin price drop below $94,000 will kick off the next wave of forced selling to $90,000, a level which some traders have suggested they would be happy to bid.
A Potential Bounce?
Day 21 of the Cycle. Back at the 10dma generally a good spot to bounce and continue the uptrend.
Generally the midpoint (around day 30) there is weakness, so if no bounce here, $86-88k likely for the midpoint over next 7-10 days.
— Bob Loukas ? (@BobLoukas) November 25, 2024
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