Ethereum: $500M shorts wiped, bulls poised – Can ETH retain its stride?
The post Ethereum: $500M shorts wiped, bulls poised – Can ETH retain its stride? appeared on BitcoinEthereumNews.com.
The Ethereum crossover above the weekly Moving Average has not yet occurred. The seller exhaustion constant fell to its 18-month lows, which could be a sign of a low-risk bottom. Ethereum’s [ETH] short squeeze, on the 16th of June, saw $500 million in short liquidations. The flow of ETH into derivative exchanges was a signal that traders should beware of the potential for a deeper price drop and renewed selling. Yet, with geopolitical tensions rising, Ethereum continued to trade above $2,400, and Bitcoin [BTC] above $100,000. The drop in the estimated leverage ratio showed that the volatility earlier this week could serve as a good reset for the futures market, priming ETH for a recovery. What would be the first sign of an Ethereum breakout? Source: CryptoQuant Insights In a post on CryptoQuant Insights, user İbrahim Cosar observed that a decisive rally would first need to move past the 50-period Moving Average on the weekly timeframe. The November 2024 and October 2023 rallies came after the ETH price breached this moving average. Source: ETH/USDT on TradingView The weekly price action showed ETH was coiled below the 50-week Moving Average, unable to climb above this resistance. A weekly session close would highlight the strong chance of a bullish trend for Ethereum. Source: Glassnode The seller exhaustion constant is the product of the percentage supply in profit and the 30-day price volatility. The combination of low percentage supply in profit (high losses) and low volatility would imply a low-risk bottom had formed. The seller exhaustion constant has fallen below late-2024 levels, matching the January 2024 low. This suggests Ethereum may have formed a high-probability bottom, despite trading above $2.4k within a range. Source: Glassnode The ETH/BTC SOPR provided insight into the relative profitability of coins spent on both networks. Consistent values…
Filed under: News - @ June 19, 2025 4:25 am