Bitcoin (BTC) could soon experience strong volatility and trigger more than $ 1.13 billion in long position liquidations if its price falls below the critical threshold of $ 82,000. Currently negotiating at $ 83,000, the downward pressure is intensifying while investors react negatively to the recent announcements on the Bitcoin Strategic Reserve in the United States.
The Bitcoin reserve disappoints and accentuates the fall of the BTC!
President Donald Trump signed a decree on March 7, 2025 for the creation of a bitcoin reserve from cryptocurrencies entered in criminal cases, rather than active purchase on the market. This announcement disappointed investors, who hoped that the US government would adopt a more aggressive BTC accumulation policy.
According to analysts, this lack of direct investment caused a short -term negative reaction and a decline in the BTC price. Because, investors anticipated a federal accumulation of Bitcoin which could have reported strong institutional support and to increase prices. However, the decision to rely only on existing assets has cooled these expectations, which caused the current drop in bitcoin.
Therefore, Bitcoin must therefore end the week above $ 82,000 to avoid a deeper withdrawal. Otherwise, a drop in this level could accelerate the sales pressure and trigger a liquidation cascade on the market.
The consequences on the BTC market
THE BTC price Currently negotiated at $ 83,335, if this figure goes below the critical threshold of $ 82,000, it could trigger a massive liquidation of $ 1.13 billion on long leverages. This fall would lead to a forced sales waterfall, amplifying the downward pressure and accentuating the volatility of the market, a scenario feared by traders and investors.
However, despite this downward pressure, some technical signals suggest that Bitcoin could approach a local hollow. Its relative force index (RSI) fell to 28, which indicates a state of occurrence. Analyst Rekt Capital noted on X that each time the RSI reached this level in the current cycle, the BTC was close to a rebound or a local hollow of -2% at -8%.
The next few days will therefore be decisive for Bitcoin. A weekly fence under $ 82,000 could accentuate the correction and trigger massive liquidations. However, a technical rebound remains possible if investors find reasons to return to the purchase. The market therefore remains under high tension, like the XRP which risks a fall of 20 % in the coming days.
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