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Journalist<\/p>\n<\/p><\/div>\n
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- Bitcoin absorbed a $1.25B long liquidation with minimal price disruption.<\/span><\/em><\/li>\n
- BTC\u2019s structure remains intact, hinting at a potential supply squeeze.<\/span><\/em><\/li>\n<\/ul>\n
Bitcoin [BTC]<\/a> is still flexing serious muscle despite all the volatility.\u00a0<\/span><\/p>\n
Cast your mind back to the post-\u201cLiberation Day\u201d dump in early April. Bitcoin shed 10.5% that week, closing at $76,191 and tagging a five-month low.\u00a0<\/span><\/p>\n
Fast forward to now, and even with macro headwinds<\/a> back in play (thanks to fresh tariff noise), a 3.79% intraday pullback barely registers. In fact, a<\/span>ccording to AMBCrypto, this might just be the tip of the iceberg.\u00a0<\/span><\/p>\n
With another high-leverage long wiped out and the market absorbing it like a sponge, Bitcoin\u2019s resilience could be setting the stage for a classic supply squeeze.<\/span><\/p>\n
Bitcoins The long squeeze that didn\u2019t break BTC<\/strong><\/h2>\n
No doubt, that intraday dip shook out a ton of leveraged longs.<\/p>\n
On-chain data from CryptoQuant flagged a sharp liquidation event: 2,560 BTC, or around $275 million, were squeezed out during the swift drop from $111,699 to $107,270 on the 23rd of May.<\/p>\n
Notably, it was the first major long squeeze in over a month, dragging BTC down 3.79% in a single session.<\/p>\n
The message is clear: In high-volatility conditions, stacking 20x\u201340x longs is a textbook recipe for liquidation.<\/p>\n
This move was a stark reminder of how fast leveraged positions can get nuked. Moreover, it showed how quickly prices can whipsaw in response.<\/p>\n
\n![\"bitcoins](\"https:\/\/ambcrypto.com\/wp-content\/uploads\/2025\/05\/Bitcoin-Long-Liquidations-All-Exchanges-All-Symbol-1.png\")
<\/a><\/p>\nSource: CryptoQuant<\/p>\n<\/div>\n
But if you thought that was enough to scare the big players, think again.\u00a0<\/span><\/p>\n
Lookonchain data spotted a whale<\/a> aping in with a monster 40x long with 11,588 BTC worth $1.25 billion which was set to be liquidated at $105,108.<\/span><\/p>\n
As BTC ranged tightly between $106k and $109k, the whale opted to close manually, injecting a fresh wave of 11k+ BTC into the market.<\/span><\/p>\n
And yet, despite the size of that unwind, BTC didn\u2019t flinch. <\/span>Could this be stealth accumulation at work, setting the stage for a looming supply shock?<\/span><\/p>\n
Bitcoins Bitcoin\u2019s bull case builds<\/h2>\n
May\u2019s data highlights a brewing supply squeeze, but it\u2019s important to break down the numbers carefully.<\/span><\/p>\n
Spot ETFs<\/a> gobbled up 52,000 BTC, effectively locking those coins away from circulation.\u00a0<\/span><\/p>\n
Exchange reserves continued to decline near the $107K price level, reducing the supply of BTC available for trading. <\/span>In total, approximately 70,000 BTC exited exchanges this month alone, further tightening liquidity.<\/span><\/p>\n
\n![\"bitcoins](\"https:\/\/ambcrypto.com\/wp-content\/uploads\/2025\/05\/Bitcoin-Exchange-Reserve-All-Exchanges-1.png\")
<\/a><\/p>\nSource: CryptoQuant<\/p>\n<\/div>\n
Combine that with sovereign players<\/a> stacking big \u2013 the UAE is stacking both on the buy and mining front, and Singapore\u2019s 68% BTC allocation signals serious conviction.\u00a0<\/span><\/p>\n
And the real eye-opener? BlackRock\u2019s iShares Bitcoin Trust (IBIT) alone added 44,000 BTC to its holdings<\/a> this month, highlighting massive institutional demand quietly piling in.<\/span><\/p>\n
So, the $1.25 billion long wipeout? It barely made a dent. <\/span><\/p>\n
- BTC\u2019s structure remains intact, hinting at a potential supply squeeze.<\/span><\/em><\/li>\n<\/ul>\n