BTC Today (01/09/2026): Why the Intense Sell and Buy Pressure in a Single Session?
- What Happened to Bitcoin’s Price?
- Why Such Wild Swings?
- The Liquidation Bloodbath
- Who’s Calling the Shots?
- Lessons for Traders
- FAQs: Bitcoin’s Wild Session Explained
Bitcoin just wrapped up a rollercoaster session that left traders gripping their desks. In under two hours, prices skyrocketed and nosedived by roughly $3,000 each way, triggering over $400 million in liquidations. Analysts point to a classic "short squeeze" flipping into a "long squeeze," all tied to the notorious "10 AM algorithm" around U.S. market open. Here’s the breakdown of the chaos—and what it reveals about today’s crypto markets.
What Happened to Bitcoin’s Price?
Picture this: bitcoin shoots up $3,300 in 30 minutes, then crashes back down $3,400 within the next 45 minutes. It was like watching a heavyweight boxing match where both fighters knock each other out. The BTCC team flagged the initial surge as a textbook short squeeze, liquidating $106 million in bearish bets. But the bulls didn’t celebrate long—the subsequent drop wiped out those gains and then some, flushing $52 million from over-leveraged longs.
Why Such Wild Swings?
Blame it on liquidity shocks and that eerie "10 AM effect." Historically, Bitcoin’s volatility spikes around the U.S. stock market open (10 AM EST), and this session was no exception. ZeroHedge even called it a "$5,000 hourly rollercoaster." Some traders swear it’s algo-driven; others think it’s just the market’s way of punishing overconfidence. Either way, the charts printed back-to-back "volatility candles" so extreme, they’d make a seasoned trader sweat.
The Liquidation Bloodbath
Over 120,000 positions got wrecked in 48 hours, totaling $400 million. But here’s the kicker: $340 million of that happened in just 24 hours, with $310 million vaporizing in a. Bitcoin alone saw $108 million in liquidations—$75 million from shorts, $32 million from longs. ethereum mirrored the carnage but with a twist: most ETH losses came from longs, suggesting a clearer "long squeeze" scenario.
Who’s Calling the Shots?
Market observers are split. Some attribute the moves to whale activity or institutional algo trading. Others point to macro triggers, like shifting Fed rate expectations. The BTCC team notes that such violent reversals often follow periods of low liquidity—like trading in a hall of mirrors where every MOVE gets exaggerated.
Lessons for Traders
1.: If you’re trading around U.S. market open, tighten those stop-losses.
2.: The $400 million liquidation tally screams "over-leverage."
3.: Its price action often telegraphs Bitcoin’s next move.
FAQs: Bitcoin’s Wild Session Explained
What caused Bitcoin’s sudden price surge?
A classic short squeeze forced bears to cover positions, spiking prices rapidly.
Why did the price crash afterward?
Profit-taking and long liquidations triggered a domino effect, exacerbated by thin liquidity.
Is the "10 AM algorithm" real?
It’s more of a observed pattern than a proven algorithm, tied to U.S. market open liquidity shifts.
