2. More liquidations
A lot of buyers may try to catch the knife and purchase Bitcoin at what they perceive to be a low price around the $56,000 mark. There may be more liquidations, though, if Bitcoin is unable to maintain this level. An additional sell order may be executed as a result of buyers' stop-loss orders being triggered, further lowering the price. It may be more difficult for the price of Bitcoin to stabilize if there is more selling pressure, which would accelerate the decline.