Bitcoin Traders Lose $771 Million in Liquidations as Price Dips Below $82,000 — CPI Data Is Next Big Test

Bitcoin had another sharp and nervous session, swinging in a wide range of about $81,000 to $84,000 before trading near $83,500. The price briefly fell below $82,000, which triggered a wave of forced selling from traders who had borrowed money to bet on higher prices.

Data cited by The Block and CoinGlass put total crypto liquidations at about $771 million in the 24 hours through October 12. Long positions took most of the pain, at about $686 million, or close to 89% of the total. In one fast move, about $120 million of long positions were wiped out in roughly 15 minutes when Bitcoin slipped below $82,000.

Several pressures came together at the same time. US spot Bitcoin ETFs have seen heavy outflows in recent days, Treasury yields stayed high near 5.2%, the dollar stayed near an 18-month high, and South Korea's KOSPI index fell about 5.5% in a chip-stock sell-off. Ether also stayed weak near $2,500, and many altcoins fell more than Bitcoin.

There was one sign of buyers returning. After the drop to near $81,000, Bitcoin bounced back from its 50-day average toward about $83,700. Analysts said that quick rebound shows some buyers are still ready to step in after long positions have been cleared out, but they want to see support from other markets before calling it a full recovery.

Now all eyes are on US September inflation data due on Wednesday, October 14. Headline CPI is expected at about 3.6% to 3.7% from a year earlier, with core inflation near 2.5%. A hotter number could lift rate-hike fears and pressure Bitcoin again, while a softer number could ease yields and help prices recover. Traders are watching support near $82,500 and $81,300, and resistance near $84,000 to $87,000.

For traders, the lesson is clear: leverage is very risky when a big data release is close. Position size, ETF flows and the CPI result will matter more than guessing the next candle. A clean hold above $84,000 would improve mood, while a close below $81,300 would bring $80,000 back into focus.

Read also: BREAKING: Strive Buys 3,311 More Bitcoin — Treasury Hits 32,773 BTC After $208 Million Warrant Rush

This post is news only, not financial advice. Always do your own research before buying or selling crypto.

Sources: CoinDesk, The Block, CoinGlass, Gadgets 360