Ethereum Rallies Towards $3,000, Prompting High Liquidation Volumes
Ethereum’s Double-Digit Rally and What it Means for Traders
Ethereum has started its path towards the $3,000 price range, as traders gradually show positive sentiments about the current run.
Ethereum’s Rise Leads to High Liquidation Volume
In the past four days, Ethereum [ETH] has recorded substantial double-digit gains, significantly impacting the volume of liquidations. The analysis of Ethereum’s daily timeframe showed a significant rise, marking its second major upward movement of the year on February 12. This led to an increase of more than 6%, driving the ETH price to $2,661. Despite a slight decline of less than 1% the following day, Ethereum experienced its third highest rise of the year on February 14, surpassing an increase of over 5% and reaching over $2,776. At the time of writing, it stands at around $2,796, representing a rise of nearly 1%.
Ethereum Shows Strong Trends
The short-term moving average (yellow line) also acted as a support level at around $2,400. The Relative Strength Index (RSI) showed a robust bullish trend, with the RSI line above 75, indicating that ETH has entered the overbought zone. The strength of the ongoing trend is further confirmed by the Moving Average Convergence Divergence (MACD). At the time of writing, the MACD lines were above zero, confirming the bullish trend identified by the RSI.
Ethereum Uptrends Liquidate Positions
An examination of the liquidation chart on Coinglass following Ethereum’s price surge of over 6% on February 12 revealed significant liquidation of short positions. The chart showed a total liquidation of short positions amounting to $26.5 million and a liquidation of long positions amounting to $11.8 million. However, the slight price decline the following day led to a larger volume of liquidations, particularly for long positions. The chart showed a liquidation of long positions of over $26 million.
ETH Traders Show Slight Aggression
The analysis of the Coinglass funding rate in recent days showed an increased dominance of buyers, with the rate consistently positive. The chart showed an increase in the funding rate to around 0.02% during the price rise on February 13. However, at the time of writing, there has been a slight decline, with the funding rate now standing at around 0.01%.
| Symbol | ETH |
| Coin type | Alt Coin |
| Transaction Speed | Medium |
| Pros |
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| Cons |
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| Price | $2,668.61 |
| 24h % | 1.94 % |
| 7d % | 1.97 % |
| 30d % | 1.21 % |
| 60d % | 5.72 % |
| 1y % | 49.82 % |
| Market Cap | $321,393,138,396.00 |
| Official Links | Website | Source Code |
| Socials | Reddit | X |
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