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Interpretation of key BTC price levels and liquidation pressure: Bull-bear confrontation at $92,000 and $95,000
【Block Rhythm】 According to the latest data from Coinglass, Bitcoin has recently faced two key liquidation pressure points.
If the Bitcoin price drops below $92,000, the cumulative long liquidation strength on mainstream exchanges will reach $1.135 billion. Conversely, if Bitcoin breaks above $95,000, the short liquidation strength on mainstream exchanges will total $678 million.
Here, it is important to clarify a concept—the bars on the liquidation chart do not represent the exact number or specific value of contracts pending liquidation, but rather the relative strength comparison. Simply put, it indicates the significance of this liquidation cluster compared to other surrounding clusters.
A more straightforward understanding is: the liquidation chart tells us how much the market will be affected when the price reaches a certain range. The taller the bar, the more intense the market reaction due to significant liquidity fluctuations when the price hits that level. This is very useful for short-term traders in judging support and resistance levels.