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<p>The post <a href="https://coinpedia.org/news/bitcoin-price-breaches-57000-crash-ahead/" rel="noopener noreferrer nofollow">Bitcoin Price Breaches $57,000 — Crash Ahead?</a> appeared first on <a href="https://coinpedia.org" rel="noopener noreferrer nofollow">Coinpedia Fintech News</a></p>
<p>On September 4, 2024, Bitcoin (BTC) the world’s biggest cryptocurrency breached its crucial support level of $57,000, making a low of $55,670, according to CoinMarketCap data. However, the BTC price quickly recovered, returning to near the $56,800 level.</p>
<h2 class="wp-block-heading" id="h-100-million-in-liquidations"><strong>$100 Million in Liquidations</strong></h2>
<p>This significant price fluctuation in past hours has liquidated over $100 million in longs and shorts positions. The majority of the liquidation came from the long side. According to the on-chain analytic firm CoinGlass, out of $100 million in liquidation, bulls were liquidated for $91.35 million worth of long positions, while short sellers saw 8.57 million in liquidations.</p>
<p>Despite recent market recovery from $55,670 to $56,800, it appears that BTC has entered a phase where short sellers are currently dominating the assets and have the potential to liquidate more long positions.</p>
<h2 class="wp-block-heading" id="h-bitcoin-technical-analysis-and-upcoming-levels"><strong>Bitcoin Technical Analysis and Upcoming Levels</strong></h2>
<p>According to the expert technical analysis, BTC has turned extremely bearish, with a high possibility of falling to the $54,000 level. The recent price drop not only breached the crucial support level but also broke a week-long consolidation near the support area, which is a bearish sign.</p>
<figure class="wp-block-image size-large"><a href="https://image.coinpedia.org/wp-content/uploads/2024/09/04080810/BTCUSDT_2024-09-04_08-07-50.png" rel="noopener noreferrer nofollow"><img decoding="async" width="1024" height="448" src="https://image.coinpedia.org/wp-content/uploads/2024/09/04080810/BTCUSDT_2024-09-04_08-07-50-1024x448.png" alt="" class="wp-image-346780" srcset="https://image.coinpedia.org/wp-content/uploads/2024/09/04080810/BTCUSDT_2024-09-04_08-07-50-1024x448.png 1024w, https://image.coinpedia.org/wp-content/uploads/2024/09/04080810/BTCUSDT_2024-09-04_08-07-50-300x131.png 300w, https://image.coinpedia.org/wp-content/uploads/2024/09/04080810/BTCUSDT_2024-09-04_08-07-50-768x336.png 768w, https://image.coinpedia.org/wp-content/uploads/2024/09/04080810/BTCUSDT_2024-09-04_08-07-50-1536x672.png 1536w, https://image.coinpedia.org/wp-content/uploads/2024/09/04080810/BTCUSDT_2024-09-04_08-07-50-150x66.png 150w, https://image.coinpedia.org/wp-content/uploads/2024/09/04080810/BTCUSDT_2024-09-04_08-07-50.png 1824w" sizes="(max-width: 1024px) 100vw, 1024px"></a>
 <figcaption class="wp-element-caption">
  Source: Trading View
 </figcaption>
</figure>
<p>Since August 8, 2024, this is the first time BTC has fallen below the $56,000 level. Despite this massive price decline and crucial breakdown, technical indicators such as the Relative Strength Index (RSI) and Stochastic remain neutral according to CryptoQuant data.</p>
<h2 class="wp-block-heading" id="h-key-liquidation-areas"><strong>Key Liquidation Areas</strong></h2>
<p>Currently, the major liquidation areas are near $56,270 on the lower side and $57,130 on the upper side, as intraday traders are over-leveraged at these levels, according to CoinGlass’s Bitcoin exchange liquidation map.</p>
<figure class="wp-block-image size-large"><a href="https://image.coinpedia.org/wp-content/uploads/2024/09/04080845/kfjcnm.png" rel="noopener noreferrer nofollow"><img decoding="async" width="1024" height="450" src="https://image.coinpedia.org/wp-content/uploads/2024/09/04080845/kfjcnm-1024x450.png" alt="" class="wp-image-346781" srcset="https://image.coinpedia.org/wp-content/uploads/2024/09/04080845/kfjcnm-1024x450.png 1024w, https://image.coinpedia.org/wp-content/uploads/2024/09/04080845/kfjcnm-300x132.png 300w, https://image.coinpedia.org/wp-content/uploads/2024/09/04080845/kfjcnm-768x338.png 768w, https://image.coinpedia.org/wp-content/uploads/2024/09/04080845/kfjcnm-150x66.png 150w, https://image.coinpedia.org/wp-content/uploads/2024/09/04080845/kfjcnm.png 1448w" sizes="(max-width: 1024px) 100vw, 1024px"></a>
 <figcaption class="wp-element-caption">
  Source: CoinGlass
 </figcaption>
</figure>
<p>If the market sentiment remains bearish and BTC falls to the $56,270 level, nearly $260 million worth of long positions will be liquidated. Conversely, if sentiment shifts and the price rises to the $57,130 level, approximately $215 million worth of short position will be liquidated.</p>
<p>At press time, BTC is trading near $56,650 and has experienced a price drop of over 5% in the last 24 hours. Meanwhile, its <a href="https://www.coinglass.com/BitcoinOpenInterest" rel="noopener noreferrer nofollow">open interest</a> has declined by 4% in the last four hours, indicating significant liquidations due to the recent breakdown of crucial support levels.</p>

Bitcoin Price Breaches $57,000 — Crash Ahead?

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