Continue Shorting? Let's Take a Look at the Current Points of Attention for BTC Bulls and Bears from the Liquidation Map.

Bitcoin started to rebound after last night's massive liquidation of 1.5 billion dollars, but there is still a possibility of spikes. So, what points do both bulls and bears need to pay special attention to at this moment? Let's take a look at the liquidation map.

From the map, it can be seen that the liquidation strength of short positions above is greater than that of long positions below. Currently, the concentrated liquidation points are at 98400, 98900, and 99500, with liquidation strengths of 170 million, 430 million, and 620 million dollars respectively. The concentrated liquidation range for short positions extends up to around 101500, where the accumulated liquidation volume is 950 million dollars.

The key point to pay special attention to is actually around 99400-99500. This is not only the accumulation liquidation concentration point, but also near the descending trend line. If a false breakout occurs, it is a reference point for shorting in the short term.

However, I currently do not believe that this is the historical peak for BTC. Firstly, spike liquidations during a bull market are common behavior for Bitcoin. Secondly, based on BTC's past trends, even if it is a historical peak or a significant correction, it will likely require a second breakout before starting the correction.

On January 10th of this year, a similar trend occurred when it broke through 48000, which was near the 0.618 level of a larger cycle. After the breakout, there were multiple retracements and spikes before a second breakout began a deeper correction.

The liquidation points for bulls are currently mainly concentrated around the short-term support near 95200, where there is an accumulated liquidation strength of 256 million dollars. The liquidation range for the long positions is concentrated up to the previous low of around 94000, with an accumulated liquidation strength of 529 million dollars.

If a spike rebound can occur around 95200, it would be a short-term bullish entry point for BTC, as there is also a trend line support nearby. However, if a large bearish candle breaks below, BTC may face a deeper decline.