Bitcoin Liquidation Dominance Hits Three-Year High as Leveraged Bulls Face Mounting Losses

Bitcoin trades below $90,000 amidst relentless pressure from a surge in forced liquidations of leveraged long positions. Data reveals that long positions currently dominate the liquidation landscape, with sellers holding significant control and preventing any sustained price recovery. This trend is evidenced by the recent three-year high in Bitcoin’s liquidations dominance, reaching 32% according to data shared by Axel Adler. This indicator reflects the ratio between long and short liquidations within derivative markets, with higher values signifying a stronger dominance of long positions absorbing losses.