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Bitcoin at $72K Sets $1.5B Liquidation Cascade, Willy Woo Predicts What’s Next
The cryptocurrency market has recently undergone a notable correction, leading to a sharp decline in the global cryptocurrency market capitalization. This slowdown is in line with insights from the Bitcoin Liquidation Heatmap, highlighted by a renowned analyst Willy Woo.
Their analysis suggests a potential Bitcoin short sale of $1.5 billion if BTC hits the crucial $72,000 mark. Currently, Bitcoin (BTC) costs $70,959.96 with a 24-hour trading volume of $36.5 billion. Despite recent volatility, Bitcoin is up 2.85% in the last 24 hours, indicating a significant recovery.
Analysis of Bitcoin Price Trends and Imminent Liquidation
Despite the looming threat of Bitcoin’s $1.5 billion short sale at $72,000, BTC has shown resilience. Previously it was confined to a large descending channel
pattern characterized by higher highs and lower lows. However, a breakout occurred, which some interpret as a sign of a potential bull market. The $60,000 support zone has proven resilient on several occasions, with market sentiment targeting the upper boundary of the channel.
Bitcoin price rose sharply yesterday, breaking the symmetrical triangle resistance line, reaching the first target at $70,645.00 and targeting further gains towards $73,800.00. The uptrend is expected to continue, supported by the EMA50 carrying the price downwards.
Notably, breaking $68,890.00 would halt the expected rise and subject the price to intraday downward pressure. O Relative Strength Index (RSI) exceeding the 50% mark indicates a return to bullish momentum. Willy Woo further predicted that breaking the $72,000 level could lead to a rally towards $75,000 and potentially new all-time highs.
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Live Market Dynamics and Long-Term Outlook
Starting today, the live price of Bitcoin (BTC) is $71,028.56, with a 24-hour trading volume of $32.4 billion. The cryptocurrency is up 3% in the last 24 hours and is currently trading between $71,224.18 and $70,476.79. Bitcoin’s live market capitalization is $1.3 trillion. Open interest
in Bitcoin increased by 5.96%, reaching a valuation of US$20.4 billion. Historical price data suggests that Bitcoin is on track to form a new all-time high in the first few weeks of 2025.
The price followed a parabolic curve during the last bull run and now appears to be at the midpoint of the rally. Despite the RSI indicating a well-planned recovery, recent rejections above $71,000 have diminished bullish momentum.
Traders now expect BTC to maintain its current sluggish trend for a while. However, from a long-term perspective, market dynamics are predicted to change, potentially having a major impact on Bitcoin’s price trajectory.
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