The Bitcoin market is facing a critical moment. According to the latest data analysis from Coinglass, if the Bitcoin price successfully breaks through its historical high, the cumulative short position liquidation scale on major Centralized Exchanges (CEX) could reach as high as $793 million. This data highlights the potential for significant volatility in the market.

At the same time, the data also reveals another striking scenario: if the price of Bitcoin falls below the 120,000 USD mark, the scale of liquidations of cumulative long positions could be even more astonishing, potentially reaching 1.084 billion USD. This bidirectional liquidation pressure indicates that regardless of which direction the price fluctuates significantly, it could trigger a chain reaction.

It is important to note that these liquidation data do not represent the exact quantity or value of contracts awaiting liquidation. Instead, they reflect the relative significance or intensity of liquidation events at different price points. In other words, this data reveals the potential impact on the market when the Bitcoin price reaches a certain level.

The peak areas in the liquidation chart are particularly noteworthy, as they indicate potential severe market reactions. These areas suggest that once the price reaches these levels, it may trigger a sudden change in liquidity, leading to more intense price fluctuations.

The current market environment is filled with opportunities and risks. Investors and traders need to closely monitor these potential liquidation triggers, as they may become key indicators of future market direction. Whether it is breaking through historical highs or pulling back below 120,000, significant market turbulence may be triggered.

In this time of uncertainty, risk management and prudent decision-making are more important than ever. Market participants should be well-prepared to deal with various possible scenarios and develop corresponding strategies based on their risk tolerance.