3 Altcoins That Could Trigger Major Liquidations in Early January

Core Insights - Short-term derivatives traders are maintaining long positions in several altcoins, but without strict stop-loss plans, these positions may face liquidation risks as early as January [1] Group 1: Solana (SOL) - Solana's liquidation map indicates a significant imbalance, with cumulative long liquidations greatly exceeding short liquidations [2] - Historical data suggests January is typically a strong month for SOL's price performance, supported by a bullish RSI divergence indicating potential recovery [3] - Recent data shows SOL ETFs recorded their weakest weekly inflow since launch, with net inflows dropping over 93% from nearly $200 million to only $13.14 million, signaling weakening ETF demand which could pressure SOL's price [4][5] - If SOL's price falls to $110, cumulative long liquidations could exceed $880 million, necessitating caution for long positions [5] Group 2: Zcash (ZEC) - ZEC's liquidation map also shows heavy capital and leverage allocation to long positions, with an increase in locked Shielded Pools and a strong price rebound from around $300 to above $500 in December [6] - Profit-taking by early December buyers could lead to selling pressure, posing a risk of liquidation for long positions [7]