Ethereum sets record ETH short liquidations, wiping out $500 billion in 2 days
Ether () is setting liquidation records this week as a comparatively modest price uptick reveals how bearish the market has become.
Data from on-chain analytics platform CryptoQuant that United States dollar-denominated short liquidations hit a new all-time high on Oct. 25.
Two days, half a billion dollars of ETH shorts
It is not just Bitcoin () causing the bears severe pain this week — data from exchanges also shows that Ethereum shorters have suffered heavy losses.
ETH/USD delivered fairly impressive gains on Oct. 25-26, rising from lows of $1,337 to highs of $1,593 on Bitstamp before retracing, according to data from and .
While nothing unusual for crypto and for , in particular, the market changes triggered by the price action stood out.
As with Bitcoin, the market had become heavily short ETH, expecting a trip to new macro lows after weeks of sideways action and failed breakouts.
It thus only took around $250 of upside to liquidate more short positions (in U.S. dollar terms) than ever before — $275 million on Oct. 25, with another $250 million the day after.
Over half of a billion dollars worth of positions were wiped out in two days, and not even a record in ETH — the value of the positions totaled 189,638 ETH and 161,986 ETH, respectively.
“$ETH short squeezes for the last two consecutive days. Daily short liquidations across all exchanges reached an all-time high,” CryptoQuant CEO, Ki Young Ju, on the data.
BTC flushes out speculators
As Cointelegraph reported, the as price performance solidified.
to the latest figures from on-chain analytics resource Coinglass, Oct. 25 and 26 saw $328 million and $332 million of short liquidations, respectively, across exchanges.
The tally for Oct. 27 was already much lower at $5.7 million, this firmly in line with established norms as Bitcoin .
Nonetheless, exchange users were betting on the rally continuing, as evidenced by the on major exchange Binance.
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