BlockBeats reported on June 19, citing Coinglass data, that if Bitcoin breaks above $64,000, the cumulative short liquidation intensity across major centralized exchanges, or CEXs, would reach $786 million. In the opposite direction, if Bitcoin falls below $62,000, the cumulative long liquidation intensity on major CEXs would reach $655 million.
The liquidation chart reflects intensity, not exact contract value
BlockBeats noted that the liquidation chart does not show the precise number of contracts waiting to be liquidated, nor does it display the exact value of contracts that would be liquidated. The bars on the chart represent the relative importance of each liquidation cluster compared with nearby clusters, meaning they reflect liquidation intensity.
In this context, the liquidation chart shows the extent to which positions would be affected when the underlying asset’s price reaches a specific level. A higher “liquidation bar” indicates that once the price reaches that area, the response caused by a wave of liquidity would be stronger.