Ethereum’s price movements near critical thresholds are poised to trigger significant liquidation events on major centralized exchanges (CEXs), according to recent data from Coinglass. Should ETH breach the $2900 mark, the market could witness a surge in short position liquidations, with an estimated cumulative intensity of approximately $1.31 billion. Conversely, a decline below $2700 is projected to activate long position liquidations totaling around $1.28 billion. These figures underscore the heightened volatility and risk exposure embedded within Ethereum’s derivatives market.
It is important to note that the liquidation chart provided by Coinglass does not quantify the exact number of contracts or their precise liquidation values. Instead, it serves as a visual representation of the relative intensity of liquidation clusters, highlighting areas where liquidity waves may amplify market reactions. The prominence of these “liquidation bars” signals potential pressure points that traders and institutional investors should monitor closely to manage risk effectively.