There are a lot of short and long orders to liquidate on Bitcoin, according to Washigorira in his tweet. With his analysis, the sell orders accumulated around $25,000 and $26,000. As for buy orders, buyers place their orders around $17,200 and $19,400. However, the shorts to liquidate exceed the longs to liquidate in terms of quantity. We could then expect a decline in BTC for the next few days.
Bitcoin (BTC): Short orders around $25,000?
For its 10,000 subscribers, Washigorira shared a unique analysis on BTC. In his tweet, he mentioned that short orders on Bitcoin accumulate around $25,000 and $26,000. Indeed, we can see a yellow part around these levels on the 4h chart he shared. On the left side of the chart is the quantity or volume of orders to be liquidated. And if we look closely, the color yellow means a volume of around 65 billion dollars. In other words, short orders worth almost 65 billion are waiting to be liquidated soon.
But not only that, orders that take a long time to liquidate are also present. Even though these buy orders on Bitcoin are lower than short orders, they are not far from $60 billion in terms of volume. The buyers got below a support zone around $17,200 and $19,400.
What to expect ?
Given this Washigorira analysis, one would expect the price of this crypto to stay within these zones. At least for the next few days. Indeed, this analysis is based on a time frame of 4h. It may therefore not be very relevant for long-term investors. Indeed, it is Bitcoin (BTC) swing traders who can take advantage of these areas where short and long orders are waiting to be liquidated.
What is certain is that the price of BTC will react on these levels with a lot of volatility. Indeed, one would expect bitcoin to drop when the price hits short orders ($25,000). And on the other side, an upside is likely when the price moves around $18,000.
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