Bitcoin price has experienced a decline of 6.51% over the past week, currently trading around the $102,853 mark. At this valuation, approximately $5 billion worth of short positions are at risk of liquidation should the BTC price surge to $115,000. This potential liquidation amount is nearly three times the volume of long positions that were liquidated when the largest cryptocurrency fell from $116,000 to $104,000. Last month, a rapid recovery in Bitcoin's price led to the liquidation of $160 million in short positions within a brief 30-minute period. At that time, the cryptocurrency's price quickly tested the $115,000 level, resulting in significant losses for short sellers.
Short Positions Face $5 Billion Liquidation Risk If Bitcoin Price Bounces Back to $115,000
The Bitcoin liquidation map has identified a critical overhead structure as the price has been drifting along the 50-day exponential moving average. This map indicates a substantial pocket of short-liquidation liquidity situated just above the current market price. The initial layer, located between $105,500 and $107,500, holds approximately $700 million in short positions that would be forced to unwind if buyers managed to push the market slightly higher. This zone alone was significant enough to potentially shift momentum, but the most substantial pressure was positioned further up.
The heatmap reveals that Bitcoin price levels between $108,000 and $111,000 contain the largest concentration of vulnerable short positions. The total liquidation value within this range amounts to $2.2 billion and $2.8 billion, an aggregate large enough to potentially ignite a significant short squeeze. This block was highlighted on the heatmap as the brightest stretch of liquidity, signaling that sellers had aggressively entered positions during the earlier decline and were now facing a precarious situation. A clear upward move into this range would compel short sellers to rapidly buy back, thereby increasing volatility and accelerating any potential breakout.
Furthermore, if the Bitcoin price were to extend towards $115,000, it would trigger an additional $1.0 to $1.3 billion in liquidations that are currently positioned above $111,000. In total, the combined short exposure between the current spot level and $115,000 approaches nearly $5 billion, according to the liquidation map. As of early yesterday, November 5, the Twitter account @BTC_Archive estimated that approximately $8 billion in Bitcoin shorts could be liquidated if the price were to surge by just 9% to reach the $113,000 mark.
Tug of War Between Bulls & Bears Lies At $103,611
Currently, Bitcoin is trading near a critical level, $103,611. This area represents a pivotal battleground between leveraged long and short positions. The heatmap provided by BTC_Archive illustrates how cumulative short liquidations, shown in teal, begin to rise sharply beyond the $106,000 zone. This suggests that a breakout above this threshold could trigger a powerful cascade of forced buy orders.
In contrast, cumulative long liquidations, depicted in red, remain relatively steady, gradually tapering off as the price action drifts upward. This indicates that the majority of long positions were either already liquidated or are in the process of being flushed out by the recent decline in Bitcoin's price. Furthermore, derivative insights from exchanges such as Binance, OKX, and Bybit show a noticeable increase in leverage and open interest. According to the data, this increase is particularly pronounced along Bitcoin's price resistance levels.