Bitcoin price remains stable, but an increasing number of high-risk long positions raises concerns about a potential drop.
Current Price and Stability
In the past 24 hours, Bitcoin price has barely changed, holding at around $118,950. Weekly gains are under 1%. Despite this calmness, charts indicate a growing pile of long positions that could liquidate with even a slight price drop.
Risks Associated with Liquidation of Long Positions
Liquidation heatmaps reveal that over $42 billion in long positions is at risk across major exchanges. On Binance alone, $6.39 billion in long positions is particularly vulnerable, indicating added selling pressure. Therefore, a small drop could lead to cascading liquidations.
Impact of Support Levels on Future Price Movement
Bitcoin remains above the $117,000 support level; however, a breakdown below $116,000 and $112,900 could trigger significant liquidations. Charts suggest a potential 12% drop if the price falls to $117K.
While Bitcoin's price appears stable, accumulated long positions create risks that warrant close attention from traders.
