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October 1, 2025CoinOtag logoCoinOtag

Bitcoin Could Loop Lower if $112K Flip Fails, $108K Hold Key Amid Leverage Risk

Bitcoin is at risk of “looping” lower due to stacked derivatives leverage and thin bid support: Open Interest is above $80B and recent CoinGlass data shows $330M+ in liquidations, leaving BTC vulnerable to liquidation cascades unless bulls flip $112k into a sustained higher-low. Leverage-driven risk: Open Interest > $80B creates vulnerability to ￰0￱ levels matter: flipping $112,000 into a higher-low and holding above $108,650 signals bull ￰1￱ liquidations: CoinGlass recorded $330M+ liquidated in the latest short squeeze (53% shorts). Bitcoin price faces leverage risk with OI > $80B; learn the levels bulls must defend and actionable ￰2￱ the full analysis and trade-ready summary ￰3￱ is causing Bitcoin to risk looping lower?

Bitcoin is facing a loop-lower risk because stacked leverage across futures and options leaves thin bid support that can trigger liquidation ￰4￱ data shows $330M+ liquidations in the most recent session, while Open Interest has risen back above $80 billion, maintaining elevated ￰5￱ does stacked leverage create a leverage trap for Bitcoin? Stacked leverage concentrates stop-loss orders and margin calls around narrow price ￰6￱ a clustered liquidation occurs, it can cascade: forced liquidations push price further, triggering more ￰7￱ data from CoinGlass and Glassnode (plain text references) shows large short clusters near $110k–$111k and long exposure that can swing quickly. , "description": "Bitcoin price faces leverage risk with Open Interest > $80B and recent ￰8￱ levels: flip $112k and hold $108,650 to validate bulls.", , Why did recent sessions show heavy liquidations?

CoinGlass reported over $330 million liquidated in the latest session, with 53% from shorts, indicating short squeezes have been ￰9￱ compares with a $2 billion long squeeze reported earlier last week (plain text reference). This rotation of squeezes keeps both sides vulnerable and amplifies volatility. Bitcoin’s Open Interest climbing back above $80 billion signals larger notional exposure across derivatives ￰10￱ bids thin, even modest directional moves can trigger outsized liquidation events.) sit near 50:50, reflecting indecision and equal pressure on both ￰11￱ price plots show the lower wicks testing $112k during the latest sessions.) Frequently Asked Questions Is a breakdown under $108,650 likely to trigger a large sell-off?

A breakdown under $108,650 would increase the probability of cascading liquidations because it sits near proposed higher-low support; with elevated Open Interest, downside momentum could accelerate without a robust bid ￰12￱ should traders watch this week? Watch multi-hour closes around $112,000 and $108,650, monitor Open Interest and liquidation reports from CoinGlass and Glassnode (plain text references), and track exchange Long/Short ratios for shifts in market ￰13￱ Takeaways Leverage risk: Open Interest > $80B and stacked exposures raise liquidation ￰14￱ price levels: Flip $112,000 to a higher-low and defend $108,650 to sustain a bullish ￰15￱ Bitcoin remains at a pivotal inflection ahead of Q4: stacked leverage and thin bids keep the market vulnerable to looping lower, while a successful flip of $112,000 into a higher-low and holds above $108,650 would give bulls a pathway to rebuild ￰16￱ derivatives exposure and on-chain liquidation data closely for trade-ready signals. $80B and recent ￰17￱ levels bulls must defend and actionable takeaways.”>

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