Hunting the Leveraged: A 2% Bitcoin Move Could Trigger an Avalanche – BTC Price Analysis (September 26, 2025)
- Why Is Bitcoin Under Heavy Selling Pressure Today?
- How Are Liquidation Zones Amplifying Volatility?
- What’s Next for Bitcoin’s Price Action?
- How Should Traders Navigate This Setup?
- Frequently Asked Questions
Bitcoin (BTC) is currently testing critical support levels amid heavy selling pressure, with liquidation heatmaps signaling potential volatility spikes. As of September 26, 2025, BTC hovers around $111,600 after rejecting lows near $110,000 twice. The market faces a pivotal moment: A break above $113,500 could fuel a rebound, while losing $110,000 may trigger cascading liquidations toward $100,000. On-chain data reveals dense clusters of Leveraged positions near current prices, suggesting the next 2% move could snowball into a larger trend.
Why Is Bitcoin Under Heavy Selling Pressure Today?
BTC’s 4-hour chart shows the cryptocurrency struggling to hold ground, down 1.2% at $111,500 (CoinGecko data). The asset rebounded after double-testing the $110,000 support (blue arrows), but the 56-period EMA at $113,800 looms as stiff resistance. I’ve noticed these retests often act as make-or-break moments – the third touch usually decides the trend. The RSI’s climb from oversold territory (blue circle) hints at weakening selling momentum, but until BTC conquers that EMA, the bears still have the upper hand.
How Are Liquidation Zones Amplifying Volatility?
Glassnode’s liquidation heatmaps reveal why this range matters – orange-yellow clusters show where leveraged positions cluster like moths to a flame. When price approaches these zones, things get spicy. The recent drop to $115,000 liquidated $100M+ in longs, and now shorts are piling up above $115,000. It’s like watching a high-stakes game of Jenga – pull the wrong block (or in this case, trigger key liquidations) and the whole tower comes crashing down.
What’s Next for Bitcoin’s Price Action?
The BTCC research team notes two scenarios brewing:
- Bull Case: Holding $110,000 could spark a grind toward $113,500-$115,000, where a wall of short liquidations awaits. This would mirror the July 2025 squeeze that rallied BTC 18% in three days.
- Bear Case: Losing $110,000 risks a flush to $100,000 as overleveraged longs get wrecked. Volume patterns worry me – selling spikes were stronger than the rebound’s buying, like a boxer throwing heavier punches on the way down.
How Should Traders Navigate This Setup?
In my experience, these liquidation zones create self-fulfilling prophecies. The market’s playing a game of "hot potato" with leveraged positions – nobody wants to be left holding when the music stops. Key levels to watch:
| Level | Significance |
|---|---|
| $110,000 | Make-or-break support |
| $113,800 | 56-EMA resistance |
| $115,000 | Short liquidation zone |
| $100,000 | Psychological support |
Remember September 2024? When a 3% drop triggered $450M in liquidations? We’re seeing similar conditions now. The takeaway: In crypto, sometimes the market doesn’t MOVE because of fundamentals, but because of the mechanics of leverage. This article does not constitute investment advice.
Frequently Asked Questions
Why is Bitcoin’s price so volatile right now?
The current volatility stems from high leverage in the market, with liquidation clusters NEAR current prices amplifying price movements. When these positions get liquidated, it creates cascading effects.
What happens if Bitcoin breaks below $110,000?
A sustained break below $110,000 could trigger automated sell orders and liquidations, potentially pushing BTC toward $100,000 as stop losses get hit.
How reliable are liquidation heatmaps for trading?
While useful for identifying potential volatility zones, heatmaps shouldn’t be used in isolation. The BTCC team recommends combining them with technical indicators and on-chain data.
