Ether’s Meteoric Rise: Will It Trigger a Massive Short Squeeze?
Hold on to your hats, crypto enthusiasts! Ether just made headlines by breaching the $4,000 mark on Friday, and it wasn’t just a gentle climb. The spike resulted in the largest short position wipeout across the entire crypto market. With Ether’s surge, some experts are whispering about the potential onset of a major short squeeze.
Trump Jr. Takes a Swing at Bearish Traders
Amidst this crypto commotion, Eric Trump, son of former U.S. President Donald Trump, couldn’t resist joining the fray. “It puts a smile on my face to see ETH shorts get smoked today. Stop betting against BTC and ETH – you will be run over,” Trump quipped in a lively X post on Friday.
The Numbers Behind the Surge
So, what exactly went down on Friday? A staggering $105 million in Ether short positions went up in smoke, making up roughly 53% of the $199.61 million in shorts liquidated across the crypto world. This dramatic turn of events marked Ether’s first leap past the $4,000 threshold since December 2024, as reported by CoinGlass.
Throughout the day, Ether’s price ascended to a peak of $4,060—a 4.6% boost—before scaling back modestly to $4,015, as Nansen data showed.
$4.1K: The Make-or-Break Moment?
Crypto trader Ash Crypto weighed in on the situation, highlighting $4,100 as a pivotal resistance level. “If ETH breaks $4,100, it could trigger a short squeeze which will send ETH to $4,400-$4,500 in just a few hours,” Ash Crypto speculated. Talk about a potential rollercoaster ride!
Rising Optimism in the Crypto Space
There’s a palpable buzz in the crypto industry, with many seeing Ether’s recent movements as a bullish sign. “It’s never been this bullish in my opinion,” shared crypto trader Ted, citing growing institutional interest and the burgeoning demand for Ether ETFs.
In fact, over the past four trading days alone, spot Ether ETFs have drawn in a hefty $537 million in inflows, according to Farside data. This uptick is prompting some bold predictions, with crypto trader Moustache suggesting that Ether could skyrocket to $10,000 or more.
Big Predictions and Bigger Dreams
Meanwhile, Tom Lee, co-founder of Fundstrat, believes Ether is having its “Bitcoin 2017 moment,” predicting it could reach a jaw-dropping $16,000. While these forecasts might sound audacious, the current trends hint that the crypto rollercoaster is far from over.
Whether you’re a seasoned trader or just a curious observer, Ether’s recent performance is a spectacle to behold. As the market continues to evolve, one thing’s for sure: the crypto world never fails to keep us on our toes.
Image Credit: cointelegraph.com
