Bitcoin hit a new record high today of $230,2100, surpassing the previous day’s high of $2100,2000. On the other hand, the leading cryptocurrency dropped below $21,200 before rising back to approximately $306,523.2306.52 at the current moment. It is important to mention that a large amount of leverage is being cleared out on cryptocurrency platforms such as Binance and OKX, where traders have the option to utilize up to 2210.94x leverage. According to Coinglass, there are around $295.58 billion worth of leveraged positions open at a price of $74,000, along with an extra $2.8 billion at $73,900. If the price rises above $210,943,000 by $100 increments, it reveals around $1-2 billion in open interest. This indicates a total of approximately $30 billion in leveraged short positions that may need to be liquidated if the price rebounds to the morning’s levels and continues to rise. Bitcoin leverage information was sourced from Coinglass. It is crucial to understand that traders only stake a fraction of the total value as collateral because leverage enables them to open positions that are larger than their original investment. To illustrate, a trader who employs 100x leverage could initiate a trade worth $100,000 by putting down only $1,000. Over the last day, the combined amount of liquidated cryptocurrency assets has hit $306.52 million, including $210.94 million in long positions and $95.58 million in short positions that were compelled to shut down. Even though it may appear insignificant in comparison to the large amounts of leverage being utilized, the liquidation of collateral is a substantial amount. The market’s high level of leverage suggests increased volatility and risk as traders make bets on the new price discovery phase of Bitcoin. Recently, there have been similar fluctuations observed that coincide with the opening of the US market.