Bitcoin stayed above $64,000 on Wednesday despite choppy trading that saw the price dip to $63,900 before recovering to $64,706. The intraday swings triggered $148 million in short liquidations out of a total $216 million across the crypto market, according to data. Meanwhile, Polymarket slashed the odds of a 'CLARITY' outcome to 15%, a sharp drop that caught traders' attention.
Shorts caught off guard
The bulk of Wednesday's liquidations came from short positions — $148 million of the $216 million total. That suggests a classic squeeze: bears piled on expecting a break below $64,000, but Bitcoin held. The price bounced off $63,900 twice before grinding back up. For a market that's been range-bound for weeks, the resilience surprised some.
CLARITY odds tumble
Polymarket's 'CLARITY' market — a bet on whether the U.S. will pass a comprehensive crypto regulatory framework by a certain date — now sits at 15% probability. That's down from higher levels earlier this year. The cut reflects growing skepticism that lawmakers will move before the election. No single catalyst drove the change; it's been a slow bleed as deadlines slip.
Bitcoin's resilience
The fact that Bitcoin held $64,000 despite the liquidations and the Polymarket signal matters. It shows the spot market isn't panicking. Open interest remains elevated, and funding rates are neutral. For now, the $64,000 level is acting as a magnet — and a floor.
Traders are watching for the next catalyst. The CLARITY market will be a real-time gauge of sentiment on regulatory progress, but the immediate action is in the perpetuals. If shorts keep piling in, another squeeze could be brewing.
