Bitcoin traded near $69,000 on Tuesday after an intraday dip that put $68,500 back in focus. Traders tracked liquidation risk as Bitcoin price action stayed rangebound and sensitive to leverage flows. Market participants watched $68,000 as a near-term trigger that could accelerate long liquidations on major exchanges.
Market data showed more than $250 million in crypto liquidations over the prior 24 hours. The wipeout hit both longs and shorts, even though spot moves stayed relatively contained.
TradingView data showed Bitcoin down about 2.3% on the day as it drifted toward multiday lows. Analysts said the pullback set up a retest near the bottom of the local range around $68,500.
CryptoReviewing, a cofounder of the trading community Wealth Capital, described a two-step liquidation swing. The account said Bitcoin rose to $71,000 and liquidated about $130 million in shorts. It then fell toward $68,000 and liquidated about $150 million in longs.
Liquidation heatmaps showed large clusters above and below the spot price. These clusters can amplify quick moves. CryptoReviewing said liquidity sat around $72,000–$74,000, but a larger build appeared between $66,000 and $68,000. This range kept attention on a possible downside sweep.
Order-flow signals also pointed to continued selling from larger traders. Material Indicators said its FireCharts “binned CVD” showed “purple whales” selling over the last 24 hours. The group said Bitcoin could grind into a local support retest as sellers press the bid.
Earlier this month, Bitcoin fell below $65,000 during a broader risk-off move. Tech shares also sold off. Reuters reported heavy liquidation activity in that sell-off. Other market reports said the drop erased much of the post-election rally.
Grayscale said Bitcoin’s recent drawdown moved with high-growth tech stocks. That pattern supports the view that traders treat it as a growth asset in the short run. The firm said the “digital gold” case depends on broader adoption and lower volatility over time.
On-chain analysis suggested weaker demand conditions. CryptoQuant contributor CryptoZeno wrote that coins moved more actively, but fresh capital inflows did not expand at the same pace. The post said “apparent demand” turned negative, which can reduce the market’s ability to absorb supply.
Macro releases could also shape short-term Bitcoin volatility. The US Bureau of Labor Statistics schedules the January employment report for Wednesday, February 11, 2026. It will release the January CPI report on Friday, February 13, 2026.
US officials have also hosted talks with banks and crypto firms over digital-asset legislation. Negotiators have not agreed on stablecoin reward provisions yet.
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