Bitcoin Slips to $92K as $460M Liquidations Hit Overleveraged Traders

[Ben Graham]

After a positive trend in this first week of 2026, Bitcoin BTC $91,391.93 1.38% Bitcoin BTC Price $91,391.93 1.38% /24h Volume in 24h $45.84B Price 7d Learn more dropped to $92,000, triggering Bitcoin liquidations across major exchanges. The pullback wiped out more than $460 million in leveraged positions in hours. This move landed as crypto entered 2026 on optimism around easing liquidity and expected U.S. rate cuts.

(Source: Coinglass)

Price-wise, Bitcoin fell about 3% from its local top near $94,400 before stabilizing just below $92K. That kind of fast move matters because it exposes where traders took on too much borrowed risk. And when leverage snaps, it snaps fast.

Recent data shows the drop involved a sharp liquidity sweep, liquidating mostly long positions amid profit-taking after early January gains. Spot Bitcoin ETFs saw mixed flows, with initial inflows reversing slightly, while analysts note consolidation above $90K support.

As of January 7, BTC trades around $91,941, holding key levels with potential for rebound toward $95K–$100K if momentum rebuilds, though volatility persists due to macro risks and leverage resets.

Market Cap

24h 7d 30d 1y All Time

EXPLORE: Web3’s Biggest Gaming and Meme Coin Token PepeNode Set To Close Access In 48 Hours

Bitcoin Price Retreats to $92K After Rally Stalls, Forcing $460 Million in Liquidations

Liquidations happen when traders borrow money to bet on price moves and the market turns against them. Think of it like buying a house with a tiny down payment. A small price drop forces the bank to sell the house to cover the loan.

This time, Bitcoin’s quick drop flushed out traders who bet heavily on a straight shot to $95K. When the price slipped, exchanges automatically closed those positions.

If you are new, this is why we always stress avoiding leverage. We break this down in our guide on crypto liquidations and how to avoid them. Spot buyers felt the dip. Leveraged traders felt the pain.

#BTC Liquidation Heatmap

Which zone do you think price will reach first? pic.twitter.com/9HIOnUGZoK

— AbramChart (@abramchart) January 7, 2026

EXPLORE: 9+ Best High-Risk, High-Reward Crypto to Buy in 2026

Why Did Bitcoin Stall After Such a Strong Start to 2026? An Interesting January Move That Never Found Real Conviction

Bitcoin entered the year strong, supported by an important shift in U.S. crypto policy under President Donald Trump’s first year back in office. The Securities and Exchange Commission moved quickly to dismiss several Biden-era enforcement cases, including lawsuits against Coinbase and Binance, easing a regulatory overhang that had weighed on the sector for years.

Washington also passed landmark legislation creating federal rules for dollar-pegged stablecoins, a step the industry has long pushed for. Together, these moves helped fuel optimism and pushed Bitcoin more than 7% higher from its opening price near $87,600. Expectations for easier liquidity and eventual Federal Reserve rate cuts added to the momentum.

The rally struggled to gain traction. Leverage remained muted, and open interest barely budged. When Bitcoin tested $94K, buying pressure was thin, and the stalled move ultimately tipped into Bitcoin liquidations worth hundreds of millions.

That also explains why the pullback stayed orderly. Bitcoin did not collapse. It reset. Similar pauses followed earlier advances, including a failed push above $94,000 earlier this week.

Long-term holders still sit on gains, and institutional demand through spot ETFs remains strong. In fact, U.S. Bitcoin ETFs just posted one of their best inflow days in months, showing big money still buys dips.

The market will likely keep shaking out excess risk before the next sustained move higher.

DISCOVER: 10+ Next Crypto to 100X In 2026

Follow 99Bitcoins on X For the Latest Market Updates and Subscribe on YouTube For Daily Expert Market Analysis.

The post Bitcoin Slips to $92K as $460M Liquidations Hit Overleveraged Traders appeared first on 99Bitcoins.