Analysis: Caution is advised around the $82,000 long position lifeline. If breached, market makers will sell spot to hedge, potentially accelerating the downturn.

On November 21st, on-chain data analyst Murphy issued a warning. According to Bitcoin's Unrealized PNL Distribution (URPD), the real largest sell-off range in the past three days was within the price range of $88,000 - $89,000, with a total of 64,334 BTC sold. The most stacked chip range did not witness a large amount of selling. Currently, the market downturn is mainly attributed to the "whale dumping" of chips purchased at recent highs, while profit-taking chips and high trapped chips are not the main sellers. The analyst believes that some of the sell-off is due to short-term/high-frequency funds being forced to liquidate, but the more significant reason is the trading mechanism of derivatives market makers amplifying short-term volatility. The Options Net Premium Heatmap indicates that there is a large amount of Put selling in the current $82,000 to $87,000 range. When BTC approaches $82,000, market makers are forced to buy BTC due to the trading mechanism in order to establish a "bottom support structure." However, once it significantly drops below $82,000, market makers' "risk exposure" will become significant, requiring them to quickly "sell" BTC for hedging. The analyst believes that $82,000 is the current lifeline of longs. If it falls below $82,000, market makers will further sell spot to hedge, leading to a cascading and accelerated decline.