Bitcoin Hits Resistance Zone Ahead of Potential $2.9 Billion Correction

Bitcoin's recent rally has brought it back into a major resistance zone that previously preceded a sharp sell-off. The cryptocurrency is trading near $80,200 on August 27, but technical indicators and derivatives-market data suggest the rally could face a significant correction unless Bitcoin breaks decisively above that resistance.

The liquidation heatmap shows a larger concentration of leveraged positions below the current market price than above it. According to CoinGlass, approximately $392.31 million in long positions could be liquidated if BTC falls into the area around $77,500.

A decline toward $77,500 could trigger forced selling from leveraged long traders, adding momentum to the correction. The largest downside risk appears around $68,000, where an estimated $2.9 billion in long positions could face liquidation.