Volatility in Bitcoin’s price could significantly increase liquidation risks on major centralized exchanges, according to data from CoinGlass. If Bitcoin’s price surpasses $94,066, total short position liquidations could reach $1.898 billion, while a drop below $85,136 could trigger $1.027 billion in long position liquidations. These figures highlight that even minor price fluctuations pose substantial financial risks, especially for investors using leverage. As the largest and most prominent cryptocurrency, Bitcoin frequently experiences rapid price changes, which in turn elevate liquidation risks on exchanges. Centralized exchanges often liquidate traders whose positions move beyond expected price ranges, impacting cash flow in the market and resulting in losses for investors. Market experts and investors are monitoring this situation cautiously, as such price movements could affect overall market stability. If Bitcoin’s price remains within the specified range, liquidation risks may diminish; however, unexpected price shifts could lead to widespread financial losses. This scenario underscores the inherent volatility of the crypto market and the importance of careful risk management for investors.
Source: binance
