Ethereum has recently surpassed Bitcoin in liquidation figures, reaching $105 million versus BTC’s $81.4 million. This shift indicates potential volatility, especially as long Ethereum traders face significant losses. While ETH’s price is rising, some analysts are cautiously optimistic about its future, especially with the Pectra upgrade on the horizon.
In a surprising turn of events in the cryptocurrency world, Ethereum (ETH) has surpassed Bitcoin (BTC) concerning liquidations within the past 24 hours. This shift has raised eyebrows, as it indicates potential turbulence ahead for Ethereum’s price movement.
According to data from CoinGlass, the liquidations for Ethereum hit a staggering $105 million, while Bitcoin’s figure lagged at $81.4 million. This is a notable shift, marking the first time this month that Ethereum has outpaced Bitcoin in terms of liquidations. Long traders on Ethereum faced significant losses, totalling $56.38 million, while short traders were not far behind at $48.65 million. Interestingly, Bitcoin’s long traders reported losses of just $21.78 million, with shorts racking up $60.06 million.
This sudden liquidation imbalance favouring short traders hints at market speculation regarding impending price fluctuations. Ethereum’s rally seems constrained unless Bitcoin can break through its current trends. Bitcoin’s price has dropped marginally by 0.04%, trading around $104,423, although BTC has seen a notable rise of 10.7% over the past week.
Ethereum’s recent performance, however, reflects a different narrative. Over the last 24 hours, ETH’s price climbed by 1.8% to reach $2,564. More impressively, it has surged 41.8% over the week and a whopping 60.9% monthly. Still, trading volume experienced a decline of 17.5%, now sitting at $26.9 billion, which some might see as a concern.
Despite this drop in trading activity, some market analysts remain bullish about Ethereum. There’s optimism that ETH could soon breach the $3,000 mark, with support from factors like the accumulation by large holders (whales), increased staking activity, and favourable technical analyses.
Moreover, the anticipated rollout of the Pectra upgrade on the mainnet could be another catalyst for ETH’s recent price increase. Cicle CEO Jeremy Allaire previously referred to the Pectra upgrade as a significant enhancement, particularly in terms of usability on the blockchain. This step forward could perhaps be the boost Ethereum needs to solidify its place in the market, especially amidst this unusual liquidation scenario.
