Renowned crypto analyst Crypto Rover predicts a potential $3 billion Bitcoin short liquidation if the price surpasses the $71,900 threshold amid ongoing market consolidation. With the Halving event approaching, a rally is anticipated soon, potentially triggering significant short squeezes.
In a recent YouTube update, Crypto Rover discussed Bitcoin’s consolidation phase, emphasizing the looming threat of massive short liquidations at the mentioned price point. He highlighted the substantial liquidity buildup on the upper range, signaling potential upward momentum.
Rover estimated over $3 billion in Bitcoin short liquidations awaiting at $71,900, stressing the importance of monitoring funding rates, historical trends, and short-term price actions. He pointed out a significant futures gap created during the weekend, indicating a possible pump to fill the gap, aligned with past market behaviors.
Despite the market’s current consolidation phase, Rover remains optimistic about Bitcoin’s outlook, citing positive signals such as the resetting of key indicators like the Relative Strength Index (RSI). However, he cautioned about the heightened risk of an unprecedented slump if a short squeeze occurs.
While Bitcoin recently experienced a slump attributed to geopolitical tensions, it rebounded above $66,000, holding firm momentum. However, it faced resistance at $66,878.65 before retracing. At press time, Bitcoin’s price stood at $64,012.94, with a 0.35% increase, albeit witnessing a 34% slump in the 24-hour trading volume.
