Bitcoin short sellers are likely hoping the asset won’t return to $70,000 soon, as significant liquidations could occur if it does.
According to CoinGlass data, a massive $1.67 billion in short positions will be liquidated if Bitcoin reaches $70,000 — a level it hasn’t touched since June 8.
“There is an insane amount of Bitcoin short liquidations piling up at the topside,” noted pseudonymous crypto trader Ash Crypto on June 17 in an X post.
CoinMarketCap indicates that a 7.46% increase from its current price of $65,136 would push Bitcoin to $70,000.
“Markets are incredibly bullish right now. Bitcoin and ETH Liquidations are stacked. Bounce imminent,” Discover Crypto CEO Joshua Jake stated on June 18.
Bitcoin open interest (OI), representing the total value of all outstanding or unsettled Bitcoin futures contracts across exchanges, has decreased by 10.99% since its peak on June 7, currently standing at $33.55 billion.
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However, Bitcoin OI is still 82% higher compared to January 1.
While a drop in open interest can signal a weakening trend, an increase suggests growing market interest.
Earlier in June, leading up to June 7, Bitcoin’s OI surged by over $2 billion in just three days, prompting traders to anticipate a potential “whipsaw” effect on its price.
Willy Woo, a crypto analyst and creator of the onchain data resource Woobull, believes a significant liquidation event could set the stage for Bitcoin to achieve new all-time highs.
“We need a solid amount of liquidations still before we get the all clear for further bullish activity,” Woo wrote on June 19.
“I know it sucks, but BTC is not going to break all time highs until more pain and boredom plays out,” he added.
Woo isn’t the only analyst describing Bitcoin’s recent price action as “boring” following the Bitcoin halving on April 20.
“Basically, it’s The Boring Zone before The Banana Zone,” Global Macro Investor head of research Julien Bittel commented on June 19.
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