Bitcoin Faces $1.15B Liquidation, Sparking Intense Battle Between Bulls and Bears Amid Anticipation of Fed Policy

Bitcoin Faces $1.15B Liquidation Risk Near $106.7K; Analysts Say Leverage Flushes Could Spur Renewed Bullish Momentum

Bitcoin (BTC) recently underwent a major liquidation event as its value fell to $112,000, resulting in more than $1.15 billion in forced liquidations—the largest single-day wipeout in 2025, according to CoinGlass Watch These Bitcoin Price Triggers as Price Dips to … [ 1 ]. This sharp move, caused by traders using leverage who could not meet margin calls, led to $1.62 billion in long positions being liquidated Watch These Bitcoin Price Triggers as Price Dips to … [ 1 ]. Glassnode, an on-chain analytics provider, pointed out that long positions were especially at risk between $113,000 and $114,000, where a cluster of liquidations sped up the price drop Bitcoin(BTC), Ethereum(ETH) Liquidations Data, Crypto … [ 2 ].

This wave of liquidations came after Bitcoin’s price saw a sharp 2.8% decline overnight to $112,000, wiping out $2 billion in open interest, as noted by trader Daan Crypto Trades Watch These Bitcoin Price Triggers as Price Dips to … [ 1 ]. Some analysts believe that such a cascade of liquidations could mark a short-term market bottom. “Large liquidations often serve as a counter-signal,” a CoinGlass spokesperson said, suggesting that a short squeeze could follow as remaining long positions are cleared out Watch These Bitcoin Price Triggers as Price Dips to … [ 1 ].

Crypto investor Ted Pillows warned of possible further downside, predicting that long liquidations between $106,000 and $108,000 could occur in the near future. “It’s very likely we’ll see this level before any major rally,” he commented Watch These Bitcoin Price Triggers as Price Dips to … [ 1 ]. However, some market participants remain cautiously hopeful. Trader Jelle pointed out that Bitcoin’s $112,000 support held up well during the retest, hinting at a possible rebound to $116,000 or higher Watch These Bitcoin Price Triggers as Price Dips to … [ 1 ].

This liquidation event comes as the U.S. Federal Reserve’s monetary policy faces increased attention. The Personal Consumption Expenditures (PCE) index, the Fed’s preferred inflation measure, is set for release, and markets expect further rate cuts at the October 29 meeting. The CME Group’s FedWatch tool shows a strong likelihood of a 0.25% rate cut Watch These Bitcoin Price Triggers as Price Dips to … [ 1 ]. At the same time, political developments, including speculation about a U.S. government “strategic

reserve,” have added to market volatility Watch These Bitcoin Price Triggers as Price Dips to … [ 1 ].

On-chain data also indicates that Bitcoin may be entering a “pre-euphoria” stage. According to CryptoQuant, the market value to realized value (MVRV) ratio is showing a divergence between long-term and short-term holders, a pattern often seen before major bull market peaks Watch These Bitcoin Price Triggers as Price Dips to … [ 1 ]. Although the MVRV ratio hasn’t yet hit extreme highs, the data suggests the bull cycle is maturing with further upside possible.

Experts remain split on Bitcoin’s short-term direction. Some warn of a potential drop toward $100,000, while others believe the current volatility from liquidations could set the stage for a new bullish run. “The market is currently caught between inflation worries and hopes for more liquidity,” Mosaic Asset Company wrote in its latest report Watch These Bitcoin Price Triggers as Price Dips to … [ 1 ].