Ethereum
Ethereum Gains Ground as $20 Million in Short Positions Liquidated
Ethereum, the leading blockchain for layer 1 smart contracts, has won 3.2% in the last 24 hours. ETH hit its intraday high of $3,514 earlier today and is currently trading at $3,488. The liquidation of derivatives traders appears to be the key factor in this market recovery. Ethereum Price.
A total of $20.4 million ETH shorts worth $1.87 million were liquidated in the last 24 hours, far exceeding the $1.87 million worth of ETH longs liquidated during the same period, according to the platform of Coinglass derivatives analysis.
A short sale is a derivative contract that traders use to counter the rising price of an asset. And that’s what traders usually think of as long: the price of an underlying asset will increase.
Another key event that market participants are closely watching is the approval of Ethereum spot ETFs in the United States.
The U.S. Securities and Exchange Commission (SEC) has required spot Ethereum ETF issuers to submit revised filings by July 8according to Eric Balchunas, senior ETF analyst at Bloomberg.
This implies that spot Ethereum ETFs are expected to begin trading in mid-July. Initially, analysts estimated that Ethereum spot ETFs would be approved by July 2, but that now seems highly unlikely.
SEC Chairman Gary Gensler previously said that Ethereum spot ETFs would be approved at some point during the period. summerAt the Bloomberg Invest Summit, Gensler said the approval process is underway. gently.
In order to attract Institutional investors, some ETF issuers, such as VanEck and Franklin Templeton, have already announced fee waivers for their Ethereum spot funds.
ETH is not the only asset to have seen its price rise. The total cryptocurrency market capitalization increased by 3.6% in the last 24 hours and is approaching the $2.5 trillion brand, according to CoinGecko.
This is likely due to the liquidation of $81 million worth of short positions across all assets over the past 24 hours. This figure is offset by the liquidation of only $17 million worth of long positions over the same period.
LayerZero and Ethereum Name Service were the biggest gainers among the top 100 coins by market cap as they posted gains of 27% And 24%, respectively. On the other hand, Kaspa was the only coin to suffer a loss of more than 1%. Kaspa saw a drop of 4% in the last 24 hours.
Edited by Stacy Elliott.