Bitcoin Drops Below $93,000 But Bullish Sentiment Remins

Bitcoin’s path to $100,000 faced a setback as sellers gained control, pushing its price below $93,000.

Margin traders holding long positions suffered significant losses, with total crypto market liquidations on the buy side reaching $337.6 million in the past 24 hours.

The liquidations-driven sell-off is evident in volume-by-side data from major centralized exchanges, which shows a sharp increase in selling activity, especially on platforms offering perpetual futures trading.

Apart from forced liquidations, Bitcoin long-term holders (LTHs) contributed to the selling pressure.

Glassnode identified the 6-month to 12-month LTH cohort as the primary sellers, taking profits on their positions with an average cost basis about 71% lower than the market price (~$57,900).

“With Bitcoin surging from $74,000 to $99,000, they capitalized big on the rally.”

Market dynamics remain a balance between buyers and sellers, but today’s price action shifted from bullish spot and leveraged long sentiment to bearish momentum.

As liquidations accelerated and Bitcoin’s price approached $90,000, an increase in short positions was observed, driving the BTC funding rate from 0.019 to a peak of 0.04.

Liquidation map data now indicates that a Bitcoin price dip below $94,000 could trigger another wave of forced selling down to $90,000.

Some traders view this level as an opportunity to place bids, anticipating a potential rebound in Bitcoin’s price trajectory.