Bitcoin is once again in the headlines as analysts forecast a massive wave of liquidations if the cryptocurrency hits $120,000.
Why Short Sellers Should Be Worried
Short positions are essentially bets that the price of Bitcoin will fall. However, if BTC rises instead, traders with short positions are forced to buy back into the market to cut losses.
Bullish Sentiment in the Bitcoin Market
The cryptocurrency market is showing optimistic movement, and Bitcoin is maintaining positions above key resistance levels. If this sentiment persists, traders betting against BTC may face sharp and sudden losses.
Conclusion
It is expected that if Bitcoin reaches $120,000, not only will billions in shorts be liquidated, but it may also confirm a new bull cycle, attracting more retail and institutional investors.
Investors should watch these resistance levels closely, as the next few weeks could determine Bitcoin's long-term trajectory.
