Massive $100M Bitcoin Wipeout As BlackRock Scoops Up $125M More

A high-leverage Bitcoin trader lost around $100 Million in minutes, marking one of the largest liquidations in history. This event highlights the risks of extreme leverage in the crypto market.

Meanwhile, BlackRock has increased its institutional purchases of BTC, showing confidence in its long-term value. These contrasting trends reflect volatility and mixed investor sentiment in the market.

High-Leverage Liquidation Signals Increased Volatility in Bitcoin

After 40x leveraging his long position on Bitcoin, crypto trader James Wynn lost nearly $100 million on the Hyperliquid platform. Wynn expected the value of Bitcoin to rise, but when it dropped below $105,000, selling every position was necessary.

Although he tried to add $376,000 in margin to keep his position, the rapid drop in Bitcoin price outpaced Wynn’s trade. The liquidation proves that high usage of borrowed funds can be challenging in a volatile market.

BTC price had peaked around $108,800 before showing signs of weakness, including lower highs and bearish momentum. The SuperTrend indicator remains red, signaling that bears currently control the market.

Key support levels between $105,200 and $104,500 are crucial to watch. If Bitcoin breaks below these zones, the path to further declines may open quickly.

Strong Selling Pressure Despite Price Stability

Analysis of exchange data shows that the Taker Sell Ratio, which gauges the selling volume, has often exceeded 0.5. Seller activity continues to be strong on exchange platforms.

It also remains robust on over-the-counter markets. BTC prices have risen overall. However, persistent selling at crucial levels suggests the rally might not last.

Bitcoin prices found support around $105,800 because of large trades. Buyers now try to protect their position, and sellers aim to drop prices.

Higher buyer activity could drive the BTC price upward. This may reduce selling pressure, potentially leading to a price dip.

Bitcoin Daily Chart Shows Moderate Bullish Trend with Caution

BTC was at $105,917 at press time, not far from its 20-day SMA of $106,371. Since the price is found between the Bollinger Bands, markets are moderately volatile without sharp up or down trends. Because the Bollinger Bands are spreading out, the coin’s price could continue increasing.

RSI is at 55.21, suggesting the trend is neutral to slightly bullish. Yet, the RSI has fallen from a very high level of 66.45, implying that buyers’ enthusiasm could be subsiding.

The Cumulative Volume Delta (CVD) was –24. This suggests that buying volume has been slightly lower than selling volume recently. This means that investors who have previously bought may be trying to cash out, even with prices around current levels.

Bitcoin is projected to rise by 10.06%. By June 28, 2025, its price may reach $116,532. According to the indicators, the market is bullish, and the Fear & Greed Index is reading 60 (Greed). Within the past month, BTC rose in price on 17 out of 30 days (57%), with a volatility of 4.95%.

Institutional Buying Provides Support Amid Volatility

While retail investors are selling and liquidating their Bitcoin, institutional investors are accumulating it. Records on the blockchain indicate that BlackRock, an asset management firm, has bought another $125 Million in Bitcoin.

However, a newly created wallet moved $42 million worth of BTC fromBinance. They lower the liquidity on trading platforms, which can stop fast price drops.

Institutions buying Bitcoin usually show their market confidence in its future. Also, this activity can help support its price during unpredictable changes. MerlijnTrader, a market analyst, says the recent drop in Bitcoin prices is a good fit for the market.

Every time the MACD line crossed during market dips, a 4-hour green signal appeared. This led to buying recommendations being made. These repeated crossovers indicate a continuing positive trend. However, the market may experience temporary slowdowns.

Disclaimer

In this article, the views and opinions stated by the author or any people named are for informational purposes only. And they don’t establish the investment, financial, or any other advice. Trading or investing in cryptocurrency assets comes with a risk of financial loss.