Ethereum Price Eyes $4 – Liquidation Risks Loom

Ethereum turns its head again, and this time, it is because the price jumped towards the $ 4,000 crucial mark. Currently at a price of $ 3,933.77, this largest Altcoin by market capitalization has added more than $ 474 billion to its evaluation. This was influenced by solid institutional flows and a technical dynamic. The negotiation volume increased by 26.18% to almost $ 30 billion. Could it be the moment of escape that Ethereum Bulls was waiting for? Or will the Fed come together to decide the next move from ETH?

Institutional bets become stronger

Let’s go to the chain, Ethereum CME Futures Open Interest reached a historic summit of $ 7.85 billion. This rapid growth of open interest points out a strong speculative activity on the cryptography market and has amplified institutional participation. This is a trend often associated with the volatility of upcoming prices.

Successively, each peak in an open interest aligns with the assessment of prices, underlines that the long positions of leverage dominate. If Ethereum exceeds $ 4,062, around $ 1.31 billion in short positions could be liquidated. This could trigger a cascade of purchase orders. Conversely, a drop of less than $ 3,687 puts $ 2.9 billion in risk at risk, showing how uncertain but powerful positioning is.

Ethereum price analysis:

The price of the ETH at the time of the press changes hands at $ 3,933.77 after rubbing an intraday summit of $ 3,934.75. Looking at the indicators, the RSI is at a 72.03 overflow level, while the price continues to get into the upper group of Bollinger. If the bulls cross the resistance zone of $ 4,096.82, Ethereum could come together to annual fresh summits.

However, non-compliance with current levels could trigger a quick correction to support $ 3,687, then $ 3,585, or even $ 3,550 if the sales pressure is intensifying.

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