Millions in Short Liquidations Loom if Bitcoin Breaks Above This Level

According to crypto analyst Ali Martinez, over $23.65 million in short positions could be liquidated if Bitcoin breaks back above the $105,000 mark.

Liquidation Heatmap Suggests Major Short Squeeze Potential

A heatmap from CoinGlass shared by Ali reveals a dense cluster of short positions just above $105,000, suggesting a potential liquidation cascade if bulls manage to push through that resistance. This would force short-sellers to buy back BTC to cover their positions, potentially accelerating price movement upward in a short squeeze scenario.

“$23.65 million will be liquidated in short positions if Bitcoin jumps back above $105,000!” Ali stated, highlighting a critical near-term inflection point.

Whales Take Profits: Over 30,000 BTC Sold in 72 Hours

However, the bullish thesis is complicated by heavy whale selling. On-chain data indicates that Bitcoin wallets holding between 1,000 and 10,000 BTC have offloaded more than 30,000 BTC in the last three days, a move typically associated with profit-taking at local highs.

While such activity doesn’t necessarily spell the end of the rally, it may temporarily suppress upward momentum, especially if demand doesn’t immediately absorb the sell pressure.

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Outlook: Battle Between Shorts and Smart Money

Bitcoin now stands at a crossroads: a breakout above $105K could liquidate millions in shorts and re-ignite bullish momentum. However, recent whale profit-taking suggests caution, potentially signaling a cool-off or consolidation phase before any significant continuation.

In short, while the setup favors a possible explosive move, the next few days will likely depend on whether retail and institutional buyers can outweigh recent sell pressure from large holders.

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