Bitcoin Faces Short-Term Risks as Liquidations Surge near $108,000
Bitunix analysts have issued a warning about Bitcoin’s (BTC) price near the $108,000 support level.They believe more liquidations could occur if BTC drops below this point.
On May 27, total crypto liquidations hit $211 million. Long positions took the biggest hit,with $131 million in liquidations compared to $79.84 million in shorts. this imbalance suggests a long-side wipeout during Bitcoin’s recent dip.
Bitunix advises traders to be cautious near the $108,500–$109,000 support zone. They recommend not chasing higher prices.Instead, wait to see if the $110,800–$112,000 pressure band breaks before taking new positions.
The liquidation heat map shows a cluster of liquidations around $108,000. This zone acts as a key support area where buyers usually step in. However, a drop below $108,000 could trigger more liquidations and further price declines.
Bitunix warns traders to control their risks. The market could weaken again if capital inflows don’t resume. Despite short-term risks, there are signs of a strong long-term outlook. A May 25 report by UTXO shows that institutional demand is outpacing supply. This could led to higher prices in the future.
