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Bitcoin Below $116K Could Trigger $2.08B CEX Long Liquidations

I believe that if Bitcoin falls below $116,000, mainstream centralized exchanges will trigger roughly $2.078 billion in long liquidations.

Such a wave of forced exits would likely amplify downward momentum, spike funding rates, and create short-term dislocation across derivatives venues.

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Analysis

The estimate implies concentrated leveraged long positions around this price; a breach would force margin liquidations on major CEXs, increasing selling pressure and volatility as open interest unwind...

Recommendation

Manage risk: reduce leveraged long exposure, tighten stops or hedge with shorts/put options, and monitor open interest, funding rates, and CEX orderbook depth before adding new long positions.

Disclaimer

The Analysis and recommendations provided are for informational purposes only. Any investment decisions should be made at your own risk. Past performance is not indicative of future results. Always conduct your own research and consider consulting with a financial advisor before making any investment decisions.

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