There is an 'insane' amount of Bitcoin shorters who are hoping BTC isn't going up, analysts say. If BTC reaches $70,000 again, the shorters will loose a staggering $1.67 billion.
Short positions are a pretty effective ways to make money. But only if you can predict the price movements right.
A vast number of traders made a substantial bet on Bitcoin staying lower than $70,000, according to CoinGlass data. That price mark hasn't been reached for weeks now. And Bitcoin short sellers are probably crossing their fingers in hopes that doesn't change, with a huge amount of liquidations at risk if it does.
Analysts' estimates show there is $1.67 billion of short positions that will be liquidated if Bitcoin returns to $70,000. One of the analysts even called this 'an insane amount of money'.
And most analysts are confident that the 7% hike will make the massacre imminent.
“Markets are incredibly bullish right now. Bitcoin and ETH Liquidations are stacked. Bounce imminent,” says Joshua Jake, CEO of Discover Crypto.
According to analysts from the onchain data resource Woobull, a major liquidation wipeout will better position Bitcoin to reach new all-time highs.
“We need a solid amount of liquidations still before we get the all clear for further bullish activity,” they say.
Most recent predictions from analysts and bull, like Michael Saylor, state that Bitcoin will rise significantly. Short seller will get hurt badly, it that's true.