Tempus AI (TEM) Holds $36 Support as Chart Signals Strong Reversal

• Bitcoin has strong liquidation zones near $85,000 and $95,000 so key risk.
• Moving beyond the $90,000 zone in price could trigger massive liquidations for further up thrust.
• Long liquidations could trigger if Bitcoin drops below $85,000, causing fast fall-through.

The map of liquidations for Bitcoin shows highly leveraged activities, and there are nearly $3 billion in short positions awaiting liquidation if the price hits $95,000. As of now, the price stands at $86,255, sitting just under a high liquidity cluster that stretches above the $90,000 threshold. The chart shows strong buildup of long liquidations in the $85,000 to $87,000 range, while cumulative short liquidations begin to accelerate above $92,000. Extra indicators suggest that breaking these areas of resistance will trigger a short squeeze by forcing massive liquidations and pushing prices up.

Binance and Bybit: The Largest Liquidation Zones

The map of liquidation reflects increasing leverage activities with Binance and Bybit holding the largest concentration of liquidations. Binance accounts for a larger share of long liquidations in the $84,000 to $87,000 zone, while Bybit holds great volume of short liquidations stacked above $92,000. The cumulative long liquidation leverage is portrayed by the red curve, which is falling as Bitcoin stays above $86,000. Conversely, cumulative short liquidation leverage, seen in green, is rising sharply towards the $95,000 mark-a show of force of a possible squeeze if bullish forces prevail.

If this Bitcoin rally with $90,000 in sight continues, liquidity absorption might ignite a rush to liquidate short positions. Concentrated liquidation around $95,000 indicates that any rally above there would trigger cascading liquidations that would propel BTC even higher. An increase in cumulative short liquidation leverage indicates that traders are mostly positioned to benefit from a negative move, exposing Bitcoin to a hard reversal. Still, the presence of stacked long liquidations between $81,000 and $85,000 means any rejection from this pocket might initiate a heavy retracement.

High Volatility Expected as Bitcoin Approaches Key Levels

With Bitcoin approaching these liquidity-heavy zones, market participants are presently watching these areas closely. If the price attempts to push past $90,000, there could be a squeeze on short positions that could provide fuel for rapid gains. Conversely, if price fails to break resistance in this area, long liquidation could pull down Bitcoin below $85,000. With the $3 billion in short positions set to be liquidated, the coming days could turn very volatile as traders prepare for the decisive move.