I want to share with you the main stories. If you hold a cryptocurrency, we will discuss Ethereum. Why is the price moving? And how can you earn more with Jet-Bot? All you need is to register at Jet-Bot binance copy trading platform. Copy best traders automatically to earn up to 2000% APY. Moreover, if you register the account, you’ll get your 3 days trial access. Jet-Bot provides wide range of strategies and indicators to build your perfect crypto trading bot. Track your trading process any time.
Over $230M in Ethereum Futures Liquidated! (Merge Incoming)
Let’s jump into talking about why is Ethereum pumping Ethereum futures? The merger will result in over $230 million in liquidations for the company, bringing the total to over one thousand five hundred dollars.
There is a lot of hype over this huge upgrade for Ethereum. It was confirmed a few days ago that this is supposed to happen in September, and whether this is successful or not, and I believe it will be, if not, I’m sure they’ll just push it back, but we’re seeing a little case of buy the rumor in anticipation.
Of course, the reason Ethereum is pumping is not all natural buy pressure but, of course, leverage trading. And by the way, leverage trading can push an asset price down just as much as it can push an asset price up, and that is what we’re seeing today.
The Ethereum futures contract has lost over $230 million in the last 24 hours as buying pressure builds ahead of an important catalyst in September, the merger. We just saw more short liquidations than long ones. Some $137 million dollars in shorts compared to just $93 million in longs were liquidated, and essentially what that means to you is that liquidation is when an exchange forcefully closes a trader’s leveraged position due to a partial or total loss of the trader’s initial margin. It happens when a trader cannot meet the margin requirements for a leveraged position and fails to have sufficient funds to keep the crypto trading open. If that sounds complicated, it simply means that people who bet on the price of Ethereum falling were liquidated. It pushed the price up.
Will Ethereum Price Pump up to The Merge?
By the way, it’s not just leveraged trading, there is natural buying pressure as well and we do have the data to back that up. Ethereum has recovered quite well in July, up +29% for the month and +14% alone in the last 24 hours. Additionally, there’s an increase in the key 1k to 100k eth address tier since early May where 131 new whale addresses have popped up on the network. So whales are accumulating now.
The question is will this continue to happen for the next 2.5 months because the merge is still over two months away but this price action makes it feel like it’s next week.
What do you think? Do you think we’ll continue to see this buying pressure to merge? Also, will it be a case of “buy the rumor, sell the news” like we’ve seen so many times before?
If you hold ethereum, let’s dig a little deeper into this data. For example, as a lot of altcoin prices are dipping lower to consolidate in this bearish market, some NFT collections are only growing stronger. Over the last month, from a floor price of 57 ETH to now 91ETH, the average price of the 100 cheapest crypto punks has increased by 60%. The interest is still there.
[This article is a transcription of a video made by Altcoin Daily]
[Original video: https://youtu.be/huJey21_I5A]