Ether's 20% Freefall Triggers $1B Liquidation Cascade as Crypto Losses Accelerate
Ethereum experienced a sharp 20% price drop in two days, causing over $970 million in liquidations across leveraged derivatives markets.Summary
Ethereum's price plummeted over 20% in two days, falling from just under $4,000 to nearly $3,000, marking its weakest level since mid-July and triggering a massive $970 million liquidation cascade in leveraged ETH derivatives, primarily wiping out long positions.
Markus Thielen of 10x Research warned that the breakdown suggests further downside risk, potentially to the $2,700-$2,800 range, due to the apparent exhaustion of major buyers like BitMine, which has accumulated significant ETH but may be tapped out.
Furthermore, the catalysts that previously fueled ETH's rally, such as strong ETF demand (which has since dried up) and collapsing retail interest (indicated by Google search trends), have vanished, suggesting limited immediate support for a rebound.
(Source：CoinDesk)