Last updated on November 04, 2025

This Article Was First Published on The Bit Journal.

Bitcoin liquidation rocked the crypto market this week after Bitcoin tumbled from $112,000 to below $106,000, erasing over $1.27 billion in leveraged positions. According to the source, long traders bore the brunt of the damage, losing nearly $1.14 billion as cascading sell-offs triggered automatic closures across major exchanges.

The wave hit just as traders were bracing for the Federal Reserve’s policy decision, adding fuel to fears that tightening liquidity could squeeze crypto leverage once again.

Massive Bitcoin Liquidation Wave Hits Long Traders

Data from leading analytics platforms showed Bitcoin liquidation activity surged to one of the highest levels since August. Hyperliquid topped the list with $374 million in forced closures, followed by Bybit with $315 million and Binance at $250 million. The single most significant liquidation, worth $33.95 million, came from a BTC-USDT long on HTX.

Bitcoin’s price has now stabilized around $106,200, but sentiment remains fragile. Analysts note that heavy long liquidations often mark “short-term bottoms”, as over-leveraged positions are flushed out before a potential rebound. However, with open interest still near $30 billion, traders remain wary of another swing before the Fed’s statement later this week.

Ethereum And Solana Join The Slide

Ethereum (ETH) and Solana (SOL) also felt the shockwave. Combined altcoin liquidations surpassed $300 million, as both tokens slid 5% to 8% over 24 hours. ETH now trades near $3,030, while SOL hovers around $160.

Market watchers say these wipeouts are part of a broader leverage reset. One trader commented on social media that “thin liquidity and stacked long positions” created the perfect storm for a rapid downturn.

Charts from an official site show dense liquidation zones between $105,000 and $107,000 for Bitcoin, suggesting these areas could act as temporary support if buyers return.

What This Bitcoin Liquidation Means For Traders

This Bitcoin liquidation serves as a reminder that using leverage increases both profits and losses. In periods of extreme market activity, even minor price adjustments can escalate into large-scale selling. Experts note that in such cases, funding rates usually decline, thereby reducing speculation and providing spot-market buyers with a better entry point.

Still, the fact that open interest remains elevated suggests traders are far from abandoning risk. Some believe another Bitcoin liquidation could occur if prices retest the $103,000–$104,000 range, while others see it as a “healthy reset” before the next rally.

Conclusion

The recent Bitcoin liquidation is a loud warning for those traders who have over-leveraged themselves. It is a reminder to the market that volatility is always present, especially as major events like the Fed’s decision approach.

Short-term discomfort could disrupt bullish sentiment, but these shakeouts usually contribute to the gradual development of stronger, more sustainable growth after the dust settles.

Glossary of Key Terms

• Bitcoin Liquidation: Forced closure of a leveraged position when margin levels drop below the exchange’s requirement.
• Leverage: Borrowed capital used to amplify potential gains or losses in trading.
• Open Interest: The total number of outstanding futures contracts yet to be settled.
• Funding Rate: A periodic fee paid between traders to keep futures prices aligned with spot prices.

FAQs About Bitcoin Liquidation

1. What caused the recent Bitcoin liquidation?

A sharp price drop from $112,000 to $106,000 triggered automatic sell-offs on leveraged long positions.

2. Which exchanges saw the highest liquidations?

Hyperliquid led with $374 million, followed by Bybit and Binance.

3. How do liquidations affect Bitcoin’s price?

They often create short-term volatility but can reset leverage for healthier price action later.

4. Are more liquidations expected this week?

Analysts are cautious, citing the Federal Reserve’s upcoming decision as a potential catalyst.

5. How can traders manage liquidation risk?

Use lower leverage, set stop-loss orders, and monitor funding rates regularly.

Read More: Over $1 Billion in BTC, ETH, and SOL Trades Liquidated as Market Slides 5–10%">Over $1 Billion in BTC, ETH, and SOL Trades Liquidated as Market Slides 5–10%

Last updated on November 03, 2025

This Article Was First Published on The Bit Journal.

The Bitcoin price has gone up this weekend and surpassed $111,000, which has led to the whole crypto market getting excited about it. The data from the blockchain revealed that several large wallets were transferring thousands of BTC to exchanges and this made traders and analysts from all over the world pay attention to the matter.

These kinds of moves usually mean that the big holders, or whales, might get ready to cash out their investments, or profits. The price rise, combined with whale transaction activity, informed the experts, who subsequently voiced caution and said that market strength could dip soon if whales keep on selling.

Whales on the Move

Early Monday morning the Bitcoin price is around $110,678.55. This is the rate published by live market data. The rate has become the area where buyers and sellers are locked in a battle for control. The trading volume during the weekend was below the weekly average which usually leads to the magnification of price swings and the fueling of rapid corrections.

On-chain analyzers have also indicated that there is a significant increase in BTC being sent to major exchanges that could be interpreted as large investors moving coins for the purpose of selling. Historically, when whales send large amounts of Bitcoin to trading platforms, it often precedes short-term volatility.

Market watchers say that if these inflows persist into the week, the recent rally could lose momentum. However, if the selling pressure eases and liquidity returns, Bitcoin could hold its gains above key support levels.

Key Support and Resistance

Technical analysts consider the $110,000 mark as a decisive level and are watching it very closely, which they say will determine the short-term trend of Bitcoin.

Above the line, the Bitcoin price will be the main reason why analysts predict it will be the time when the gradual rise to $120,000 to $130,000 will be possible in the next few weeks. In case the price drops below $110,000, it might lead to the range of the correction being moved to $90,000-$100,000.

Scenario Breakdown

In every case, liquidity, mood in the market, and the presence of institutions were the main factors influencing Bitcoin’s future. The traders are looking very closely at the exchange-traded fund (ETF) activities, the money going in and out of exchanges, and the overall economic situation to find out where the major change will be next.

What to Watch Next

• Exchange inflows: Bitcoin shifting to exchanges usually before significant sales.
• Institutional flows: Contributions from companies or funds, indicating the market’s long-term trust.
• Macroeconomic updates: Central bank decisions or global market stress could influence investor appetite.
• Support strength: A strong holding of $110,000 would encourage the bulls, but a drop under that level might bring in new sellers.

Conclusion

The Bitcoin price is at a crucial point where it can go either way, to the side of optimism or to the side of caution. The current price of BTC is almost $110,678, which causes the traders to take a close look at the giant investors whether they would still sell or would come back to the process of accumulating.

Should the support prevail, then the Bitcoin price could take the next leap towards $120,000 and possibly even higher. If it fails, a correction toward $90,000 to $100,000 becomes more likely. For now, discipline, patience, and awareness of market signals remain essential as Bitcoin enters another pivotal week.

Glossary of Key Terms

• Whales: Large investors whose trading activity can sway market trends.
• Support level: A price range where demand typically stops further declines.
• Exchange inflows: Bitcoin moving into exchanges, often before major selloffs.
• Institutional flows: Investments from corporations or funds, reflecting long-term confidence in the market.

FAQs About Bitcoin Price

Q: Why is $110,000 a key level for Bitcoin?

It acts as both psychological and technical support, shaping near-term momentum.

Q: What could lift Bitcoin higher this month?

Lower whale activity, stronger ETF inflows, and increased institutional participation.

Q: What risks could pull prices lower?

High selling pressure, weaker liquidity, and negative macroeconomic factors.

Q: Is Bitcoin still expected to rise this year?

Analysts remain divided, though many expect moderate gains if support stays intact.

Read More: Bitcoin Tumbles from $111K to $107K: What Happened?">Bitcoin Tumbles from $111K to $107K: What Happened?