Bitcoins price has been on a rollercoaster throughout the past couple of days, resulting in hundreds of millions of liquidations across the board.

Traders and analysts are now speculating on whats next, with Willy Woo giving some insights on BTCs short-term price targets.

BTC Bounces Back Above $61K

The BTC price went off a cliff yesterday, plunging to a low not seen since the beginning of May.

As seen in the chart below, the cryptocurrency tumbled to somewhere around $58,400 before staging a recovery.

Source: TradingView This uptick in volatility caused a lot of liquidations in the futures market. Their number reached $360 million for the past 24 hours, with the overwhelming majority of them being long positions as expected.

According to data from Coinglass, around $280 million of the liquidations were long.

Willy Woo, a well-known proponent and crypto veteran, provided an analysis of what happened and what the next steps for BTC should be.

 Whats Next for the Bitcoin Price?

According to Willy Woo, yesterdays move was largely caused by the long liquidation cascade in the futures market.

He argued that the main initial target for wiping off leverage was $62.5K, but then speculators kept adding to new long positions, just adding more fuel for more liquidations in a cascading long squeeze.

An additional factor for the crash was the capitulation of miners:

Superimposed on this liquidaiton squeeze, we have a post halving miners capitulation. MIners are on a BTC selling spree to pay for hardware upgrades due to the old hardware no longer being profitable. The weakest miners closing shop and being liquidated. Stated Woo.

Woo predicted that short-term technical factors point to a reversal and that seems to be what happened the BTC price went back up to about $61K.

Source: Willy Woo, X However, the analyst warned that BTC is not out of the woods. According to him, its important to monitor how much of the speculation (read: leveraged positions) got cleared out of the system.

Without purging futures open interest, the system is not ready to move up.

On that front, data shows that less than 3% of the BTC open interest has been wiped off in the past 24 hours.