Bitcoin Shorts Face ₱85.08 billion ($1.4 billion) Liquidation Risk Above $80,000
Heavy short positioning meets institutional buying pressure. Bitcoin traders have accumulated ₱85.08 billion ($1.4 billion) in leveraged shorts over 48 hours while institutional buyers and US-listed Bitcoin ETFs added over ₱60.77 billion ($1 billion) in spot demand.
Key Takeaway
Heavy short positioning meets institutional buying — a break above $80,000 could trigger forced covering.
Bitcoin traders accumulated ₱85.08 billion ($1.4 billion) in leveraged short positions over the past 48 hours, according to CoinGlass data.
The shorts face liquidation if Bitcoin breaks $80,000, creating conditions for a potential price squeeze. Bitcoin currently trades at $76,814 after getting rejected at $79,500 earlier this week. The price has held above $76,000 for the past week despite persistent bearish positioning.
Bitcoin perpetual futures annualized funding rates stayed mostly negative for the past two weeks, Laevitas data shows. Options markets show an 11% premium for put options over call options based on 30-day delta skew on Deribit. Traders are betting on downside even as the S&P 500 hits new trading highs.
Institutional flows paint a different picture. Strategy bought ₱15.5 billion ($255 million) in Bitcoin between April 20 and April 26. US-listed Bitcoin ETFs pulled in $824 million in net inflows during the same period. That's persistent spot demand meeting heavy leverage on the short side.
The broader macro picture isn't helping shorts either. CME FedWatch tool shows just 20% odds of an interest rate cut at the September 16 Fed meeting. The 5-year US Treasury yield sits at 3.95%. Brent crude trades above $100. None of that screams risk-off positioning.
Bitcoin jumped from $72,000 on April 9 to current levels near $78,000. A break above the liquidation threshold at $80,000 could force shorts to cover, accelerating the move higher. Similar dynamics played out in February when Bitcoin triggered a relief rally that liquidated $52.69 million in BTC futures, mostly shorts.
This article was written based on reporting from Cointelegraph.
