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Bitcoin trades near $77,700 as analysts eye $75,000 support after liquidation wave
Open interest held steady and funding stayed subdued during the recent liquidation wave, suggesting traders were de-risking rather than capitulating, according to HashKey Research’s Tim Sun.
May 22, 2026, 5:38 a.m. 2 min read
What to know:
- Bitcoin hovered around $77,700 after a brief drop below $77,000, with derivatives data suggesting the move was a leverage flush rather than the start of a deeper downturn.
- Analysts say the $75,000 to $77,000 range remains a key support zone, as liquidations were split between longs and shorts and did not reflect a one-sided capitulation.
- Rising long-term U.S. Treasury yields and geopolitical tensions, particularly around U.S.-Iran relations and oil prices, are seen as the main headwinds for bitcoin, which may stay range-bound unless yields ease.
“There was no massive accumulation of leveraged longs prior to this, meaning most of those liquidated in this drop were leveraged funds attempting short-term bottom-fishing. Second, this signals that we are not in the middle of a structural trend reversal downward. The temporary bottom of $75,000–$77,000 remains well-defined,” Tim Sun, senior researcher at HashKey Group, told CoinDesk
The bigger problem, he said, is macro: investors are de-risking as long-term yields rise, oil and inflation risks remain in focus, and there is “currently no compelling reason for new capital to enter the market.”
