Ethereum key price level liquidation intensity exposed: $1.472 billion in short positions accumulating, two major risk points to watch out for

According to the latest data, ETH faces significant liquidation risk at specific price levels. If Ethereum breaks through $3,260, the cumulative short liquidation strength on mainstream CEXs will reach $1.472 billion; conversely, if it falls below $2,953, the long liquidation strength will amount to $1.103 billion. Currently, ETH is fluctuating around $3,102, positioned between these two liquidation prices, and the market faces risks in both directions.

What does liquidation strength mean?

Liquidation strength is not an exact count or value of contracts pending liquidation but an indicator of how much impact the price will experience when reaching a certain level. Simply put, the higher the liquidation bar, the more intense the liquidity wave triggered by forced liquidation of a large number of contracts when the price hits that level.

According to the explanation in the information, this indicator shows the extent to which the underlying asset’s price will be affected when reaching a certain point. A higher liquidation bar indicates that the price will react more strongly due to liquidity waves, potentially causing rapid price fluctuations.

Current dual-sided liquidation risks faced by ETH

From the data, the upward liquidation strength ($1.472 billion) is significantly higher than the downward one ($1.103 billion), indicating that if ETH breaks upward, the market impact caused by short liquidations will be greater.

Why is this data worth paying attention to?

Market sentiment is leaning bearish

According to the latest information, the funding rates in the crypto market have shifted back to bearish, with both mainstream CEXs and DEXs showing negative funding rates, reflecting a generally bearish market outlook. Under this background, short positions may have accumulated to a relatively high level. If the price breaks above $3,260, triggering $1.472 billion in short liquidations, it could generate strong upward momentum.

Accelerated withdrawals reflect lack of market confidence

Data shows that in the past 24 hours, CEXs experienced a net outflow of 129,100 ETH, with Binance accounting for 123,200 ETH of that outflow. Such large-scale withdrawals typically indicate investor lack of confidence or preparations to transfer assets, aligning with the bearish sentiment.

Risks concentrated at key price levels

Currently, ETH is at $3,102, only 4.8% below the upper liquidation price of $3,260 and 4.8% above the lower liquidation price of $2,953. This means that any breakout in either direction could quickly trigger large-scale liquidations.

What investors should pay attention to

• Key price levels monitoring: $3,260 (short liquidation) and $2,953 (long liquidation) are the two most important points to watch
• Cascade liquidation reactions: Triggering one of these levels may amplify price volatility and further trigger liquidations at other levels
• Funding rate trends: Continue to monitor whether funding rates further decline or turn bullish, which will influence subsequent liquidation possibilities
• Market liquidity: Accelerated withdrawals may reduce exchange liquidity, making price movements during liquidations more volatile

Summary

ETH is currently between two critical liquidation levels, facing $1.472 billion in short liquidation risk on the upside and $1.103 billion in long liquidation risk on the downside. Against the backdrop of generally bearish funding rates and accelerated withdrawals, any breakout in either direction could trigger chain reactions of liquidations, amplifying price fluctuations. These data points remind investors to closely monitor these two key levels and implement risk management strategies. For traders, understanding the distribution of liquidation strength is an important reference for pre-judging market trends and controlling risks.