Liquidation
Forced closure of a leveraged position when its margin can no longer support adverse price movement.
Cascading liquidations are responsible for many of the sharpest moves in crypto. A long liquidation forces a market sell, pushing price down, which liquidates more longs — a feedback loop until liquidity absorbs the flow.
Watching for clusters of liquidation prints near a price level helps anticipate where stops are stacked. Once the cluster clears, the move often exhausts.
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