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Bitcoin Liquidations Flush Out Late Longs as Long-Term Holders Accumulate

  • Bitcoin experienced significant liquidations as it fell below the $111,000 mark, resulting in over $185 million in long positions being liquidated across two waves.
  • Short-term traders faced consequences of aggressive risk-taking, while long-term holders capitalized on the volatility, with LTH realized cap surpassing $28 billion, the highest since April.
  • Amidst the chaos, long-term investors strategically accumulated Bitcoin, utilizing price dips as entry points and reinforcing their positions during selling phases.
  • As smart money moves in with the flushing out of overleveraged positions, the confidence of long-term Bitcoin holders in its value proposition contrasts with the panic-driven actions of short-term traders, potentially setting the stage for Bitcoin's next significant price movement.

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