Ethereum has triggered roughly $297 million in liquidations Wednesday, primarily wiping out leveraged short positions as prices soar toward a new all-time high.
Key Takeaways
- Ethereum (ETH) short positions saw a massive loss reaching approximately $297M in just 24 hours, accounting for nearly half of all crypto liquidations.
- ETH is currently valued at $4,688, gaining ~9.8% in a day and over 53% over the past month.
- RSI is overbought, hovering between 74–78, suggesting potential near-term correction.
Ethereum’s continuous surge has caused a dramatic wave of liquidations mostly for the doubters on Wednesday, August 13. With its non-stop climb to its new highs since 2021, ETH’ momentum has liquidated over $250 million for short positions just within 24 hours, while around $44 million in long positions also got wiped out, totaling roughly $286–297 million in liquidation volume, according to Decrypto's latest report. This makes ETH the most liquidated crypto asset in the short-term derivatives space.
Cointelegraph also confirmed this information on their post in X (formerly Twitter), emphasizing ETH as the highest in liquidations reaching roughly $296.55 million in the past 24 hours, followed by Bitcoin (BTC) with ~42.20 million, Solana (SOL) with ~36.82 million, and the remaining $30.13 million for other crypto tokens.
ETH on the Brink of a New Milestone as Price Approaches 2021 Peak
At 12:00 PM UTC, according to TradingView’s latest market data, ETH is trading at $4,688.6 while approaching its 2021 all-time high of ~$4,969.8. Over the past week, ETH price has climbed roughly 30.7%, with a month-to-month gain exceeding 53.9%, exact numbers gathered from CoinGecko.
Technical Indicators Flash Overbought Conditions
Technical readings signal a market in overbought territory, according to the latest data from Investing.com. The Relative Strength Index (RSI) sits in the 74–78 range, a level often interpreted as a strong buy territory. Moving Average Convergence Divergence (MACD) and other momentum oscillators still point to strong buying pressure, but also hint at possible exhaustion in the rally.
Institutional Forecasts Signal Confidence in ETH’s Long-Term Outlook
Market sentiment remains buoyant among institutions. Standard Chartered recently lifted its 2025 year-end ETH forecast from $4,000 to $7,500, and even outlined a long-term projection of up to $25,000 by 2028. Analysts also point to ETH’s current chart pattern resembling Bitcoin’s 2020 bull run setup, raising speculation of a sustained upward cycle.
What’s Next
Ethereum’s latest rally has triggered a historic wave of liquidations, especially among short sellers, as the token nears its all-time high. Though momentum remains bullish and bolstered by institutional forecasts and bullish technical patterns, overbought indicators warn of potential pullback or consolidation in the near term.
If ETH sustains support above ~$4,600, it may break into fresh all-time high territory, which is being looked forward by the majority of the crypto community. However, along with liquidation data, traders should monitor RSI and MACD closely for signs of overextension and potential short-term correction.
Summary
Ethereum’s ~$297M in short liquidations marks one of the largest single-day derivatives shakeouts in recent months, reflecting the strength of its uptrend as prices approach the 2021 peak near $4,970. Institutional forecasts pointing toward $7,500 by 2025 and up to $25,000 by 2028 amplify bullish sentiment, aligning with technical momentum reminiscent of Bitcoin’s 2020 breakout phase.
From a market structure perspective, the combination of aggressive short covering, rising institutional targets, and historical breakout patterns suggests ETH is entering a potentially decisive phase. However, overbought technical conditions introduce the risk of short-term pullbacks, making support levels (~$4,600) and liquidation trends key to watch. A successful breakout could trigger accelerated inflows, while failure may invite sharp retracement.
