Kalshi’s Bitcoin leverage puts $67,000 in play

The CFTC-approved perpetual futures contracts generated $5.5 billion in their first two weeks as traders faced large liquidation risks.

Bitcoin’s recent volatility has put a $67,000 price level in focus as traders using Kalshi’s CFTC-approved perpetual futures contracts face significant liquidation risks, Forbes reported.

Kalshi’s contracts debuted on June 3 after receiving CFTC approval in late May. The products generated $5.5 billion in trading volume during their first two weeks, according to Bloomberg data cited by Forbes.

The launch gives US institutions access to perpetual futures that had largely been traded offshore. Kalshi Chief Executive Officer Tarek Mansour described the contracts as an expansion of the company into derivatives, while critics warned that high leverage could expose retail traders to sharp losses.

Bitcoin briefly fell below $76,000 before recovering to about $81,000, and traders reported large liquidations during the move. Analysts cited by Forbes said long liquidation pools were concentrated around $62,000 to $67,000, while the market remained vulnerable to further volatility.

Disclosure: This article was edited by Editorial Team. For more information on how we create and review content, see our Editorial Policy.

Bitcoin’s recent volatility has put a $67,000 price level in focus as traders using Kalshi’s CFTC-approved perpetual futures contracts face significant liquidation risks, Forbes reported.

Disclosure: This article was edited by Editorial Team. For more information on how we create and review content, see our Editorial Policy.