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Bitcoin Nearing $3B Short Squeeze Trigger

Bitcoin needs just a 1.26% move to liquidate $3B in shorts, setting the stage for a major short squeeze.

  • $3B in BTC shorts at risk of liquidation
  • Only 1.26% price move needed to trigger squeeze
  • Market eyes potential surge if squeeze happens

Bitcoin on the Brink of Massive Short Squeeze

The crypto market is heating up as Bitcoin (BTC) needs just a 1.26% price increase to trigger the liquidation of $3 billion worth of short positions.

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This setup has traders watching closely, as such a move could set off a short squeeze—a rapid price jump caused by the forced buying of BTC from traders who bet against the market.

Short squeezes are notorious for pushing prices higher in a short period, often catching bearish traders by surprise. With Bitcoin already showing strength, this small push could send the price soaring—and fast.

What’s Behind the $3B in Shorts?

The $3 billion in short interest reflects a large number of traders still betting against Bitcoin’s rise. However, when BTC nears key resistance levels with high short volume stacked, the risk of a squeeze grows.

Here’s why this moment is critical:

  • A 1.26% move is relatively minor in Bitcoin terms, making the squeeze highly possible
  • High leverage positions increase the risk of cascading liquidations
  • Market momentum has already been tilting bullish over the past week

If this pressure point is crossed, short traders may be forced to buy back BTC to cover their lossesdriving prices even higher.

What Traders Should Expect Next

Should Bitcoin break through this squeeze level, it could trigger a rapid rally fueled by forced liquidations. This could also influence the broader crypto market, with altcoins often following BTC’s lead.

Traders are advised to manage risk carefully, as volatile swings could go in either direction. But all eyes are now on Bitcoin’s next 1.26% move—it could make or break billions in leveraged positions.

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Disclaimer: The content on CoinoMedia is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency investments carry risks, and readers should conduct their own research before making any decisions. CoinoMedia is not responsible for any losses or actions taken based on the information provided.

Isolde Verne

Isolde Verne is a passionate crypto writer, focusing on blockchain innovation, NFT ecosystems, and the societal impact of decentralized systems. Her engaging style bridges the gap between technology and everyday understanding.

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