Market Red Alert (Feb 10, 2026): Bitcoin Liquidations Hit $1.45B - Sell-Off Thresholds to Watch

Market Red Alert (Feb 10, 2026): Bitcoin Liquidations Hit $1.45B - Sell-Off Thresholds to Watch

Tuesday, February 10, 2026 — The crypto market is facing its most critical test of the year. Following yesterday's relief rally, volatility has returned with a vengeance. Over $1.45 billion in long positions were liquidated in the last 24 hours, signaling that the leverage flush is far from over.

Bitcoin (BTC): The Liquidation Heatmap

Bitcoin is currently trading in a dangerous "High Liquidation Zone" between $65,000 and $70,000.

1. The Sell-Off Threshold: $60,000. This is the ultimate line in the sand. A sustained breakdown below this level clears the last major liquidity cluster and opens the door to a rapid descent towards $52,000.
2. Immediate Resistance: Bitcoin must reclaim $68,000 (200-week EMA) to neutralize the bearish momentum.
3. Institutional Activity: While retail is panic selling, on-chain data suggests whales are absorbing sell pressure near $63,000, creating a temporary floor.

Ethereum (ETH): Generational Buy or Falling Knife?

Ethereum has been hit harder than Bitcoin, with the ETH/BTC ratio at multi-year lows.

1. Critical Support: $2,120. This "June War support" level is currently being retested.
2. The Danger Zone: If $2,120 fails, the next magnetic zone for liquidations is $1,800 - $1,760.
3. The Bull Case: Long-term holders view the $1,800-$2,000 range as a "generational buy zone," anticipating a reversal once the leverage wash is complete.

What's Driving the Sell-Off?

1. Macro Fear: The Federal Reserve's "higher for longer" stance is punishing risk assets.
2. ETF Outflows: Short-term traders are exiting Spot ETFs, amplifying the downward pressure.
3. Liquidation Cascades: Automated stop-losses are triggering chain reactions, pushing prices below key technical levels despite neutral fundamentals.

Action Plan for Traders

1. Don't Catch the Knife: Wait for a confirmed 4-hour close above $66,000 for BTC before re-entering longs.
2. Watch the Leverage: High open interest + falling prices = more pain ahead. Wait for open interest to cool off.
3. Hedge: Consider stablecoin allocation or gold (which is holding $2,300) until the volatility subsides.

Pro Tip: Markets move fast. Use ByteNotes to log your trade thesis and avoid emotional decisions during high volatility.