Sashimi Nakamoto2021-09-07

Further price decline follows liquidation cascades

Historically liquidations cascades in Bitcoin, and subsequent drop in OI, are followed by further price declines. This happens for a number of factors, including inability of exchanges to profitably dispose of liquidated assets. Major exchanges then dispose of liquidated assets gradually over time. Further price decline, possibly into 42-44k for BTC is likely given this historical context.