How Bitcoin Might Crash to $100K – The Greatest Trap Yet? 😱

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Key Takeaways

Bitcoin’s liquidation heatmap reveals a sea of overleveraged longs at $105k. Will BTC absorb the blow, or is a deeper plunge to $100k inevitable? Grab your popcorn! 🍿

On the grand daily chart, Bitcoin [BTC] is stubbornly holding on, I dare say.

Since reaching that monstrous $124k on August 14th – as if hitting the jackpot – BTC has carved out three lower lows. Each time, it zigs and zags, teasing everyone before a cruel snap, sending unlucky traders running for cover.

But! The third low, a modest $107.5k, appears different. BTC has been meekly slumping under $110k for four days straight, moving less than a whisper – less than 1%! Clearly, the coins are feeling shy, unlike the usual wild swings of 1.5-3% that once made everyone dizzy. 🌀

This, my friends, suggests the bulls are playing a clever game of chess, repositioning their pawns into BTC.

Adding fuel to this theory, Bitcoin’s dominance (BTC.D) is bouncing back from 57%, up by 1.52%. Looks like capital is doing a dance, perhaps treating that $107k “dip” as a bargain basement sale – a local bottom, or so they hope.

But beware! The last three failed attempts at a rebound saw Bitcoin’s Open Interest (OI) spike to over $83 billion – a sign of overenthusiastic leverage fanatics chasing blind bets. And wouldn’t you know it, the pattern is trying to repeat itself again! 🚩

Longs Overleveraged and Battling Bitcoin’s Fortitude

On-chain, the signals look like a circus – not a good one.

Smart money’s pulling back, institutions are sitting on their hands, and the STH NUPL indicator still blazes red, warning of storm clouds. Meanwhile, over 60% of BTC/USDT perpetual contracts on Binance are long – as if everyone’s betting their last shirt on a rally.

Since that first lower low below $110k in mid-August, overexposed longs have been stacking up, turning the scene into a slow-motion disaster. The result? Repeated long sweeps, like a bad soap opera. 📺

In simple terms, Bitcoin is caught in a rinse-and-repeat cycle of despair.

To break free, bids must gobble up these overbought longs below $110k before fighting off the massive shorts lurking above. Technically, BTC remains standing – but the lack of new buyers makes it a sitting duck.

So, a fourth low? Not just conspiracy! There’s a real chance a long squeeze is brewing beneath the surface. Stay cautious, my friend. If the risk-averse crowd stays nervous, Bitcoin might just backpedal to the cursed $100k mark. Brace yourself! 😜

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2025-09-02 18:38