Bitcoin (BTC) dipped below $84,000 on Wednesday as flash downside liquidated over $500 million in crypto long positions.

Key points:

Bitcoin briefly dropped to $83,560 but held support at its 21-day moving average, which currently stands at $83,850.

Analysis flagged 40x-leveraged BTC shorts on Hyperliquid appearing immediately before the downside ensued.

Analysis by Rekt Capital viewed a daily or three-day close above $86,700 as necessary to confirm upside continuation.

Hyperliquid shorts in focus after BTC price drop

Data from TradingView showed

BTCUSD

falling up to 2.3% over two hourly candles before returning to circle $84,000 at the time of writing.